The economic instability in Indonesia is causing concerns for consumers, businesses, and retail investors as one of the country's major holidays approaches. Benedicta Alvinta, a freelance marketing strategist in Yogyakarta, experienced a significant downturn in Indonesian stocks, impacting her investment portfolio that mainly includes shares, government retail bonds, mutual funds, and gold. She, like many others, remains hopeful for stock index recovery but is more cautious about economic prospects, leading her to be more careful with investments and delay spending on home renovations and furniture replacement.

Amid decreasing confidence, fewer Indonesians are expected to travel during the Eid al-Fitr holiday season in various regions of the country due to budget cuts, populist spending measures, and policy uncertainties under President Prabowo Subianto. The Jakarta Composite Index and the rupiah have been performing poorly, with the index experiencing its most significant intraday decline in over a decade and the currency reaching its lowest value since the late 1990s Asian financial crisis. As local markets close for over a week in observance of the end of Ramadan, decreased economic activity is evident, with fewer people traveling compared to previous years.

Various factors have contributed to the financial constraints faced by households, ranging from job losses in the textile industry to declining nickel prices and the devaluation of the rupiah. Rising raw material costs due to the weakening rupiah have been highlighted by Shinta Widjaja Kamdani, the chairwoman of the Indonesian Employers’ Association, who warns that this could lead to reduced purchasing power and hinder overall economic growth. Small business owner Disfiyant Glienmourinsie has witnessed a 15% increase in the price of salmon, impacting her food catering business in South Jakarta.