The Consumer Savings Index (IMK) in July recorded a slight decline compared to the previous month, mainly due to higher education-related expenses at the start of the new school year.

According to the July 2025 Consumer Savings Survey released by the Indonesia Deposit Insurance Corporation (LPS) on Sunday (August 10, 2025), the IMK stood at 82.2, down 1.6 points from June 2025. This indicates a decrease in consumers’ interest and ability to save during the month.

The decline was driven by a 4.7-point drop in the Savings Time Index (IWM), while the Savings Intensity Index (IIM) rose 1.4 points to 73.8.

LPS Research Group Director Seto Wardono explained that the trend reflects weakening savings intentions and capacity as households allocated more funds toward education costs at the start of the school term.

A similar pattern was seen in March, when Ramadan and Eid-related expenses caused a dip in the index, before rebounding in April.

Such temporary declines are considered common when households face seasonal spending peaks that require greater budget allocations, prompting withdrawals from savings. However, consumers tend to resume saving once their expenses ease and disposable income improves.

By observing these patterns in consumer saving behavior, businesses can also gain insights into household spending habits, which may serve as a reference for business development strategies.