Business Sentiment

DRI’s Indonesian Business Sentiment Survey includes more than 700 chief executives or directors representing a wide variety of leading companies in the following sectors: construction, agriculture, finance, transportation & communication, manufacturing, hotel & restaurant services, and others (mining).  Survey respondents are selected using a statistical method such that they represent the chief executives in Indonesia in various sectors accurately.  They are scientifically selected form the Business Directory.  Survey quality control is strictly implemented, matching that of an international standard.

The Business Sentiment Survey is designed to measure CEOs’ assessments towards the current economy and business condition, and their expectations for the next 6 months.  In this survey, the respondents answer to 12 questions.  In every question, a respondent can give a positive or a negative response.  For example, a respondent can give a negative response to the current general condition in his/her industry.  The minimum value of these indexes is “0”, and that is when all respondents give pessimistic response on all seven questions.  The maximum value of these indexes is “200”, and that is when all respondents give optimistic response on all seven questions.  “100” is the middle value.  If the index is below “100”, it can be inferred that negative (pessimistic) response outnumbers the positive (optimistic) response. The usefulness of the index is in comparing changes over time rather than looking at an isolated month.

Business Sentiment Index

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