JAKARTA (Bloomberg): Automobile sales in Indonesia dropped 41 percent in January, the biggest fall in almost seven years, as rising interest rates deterred car purchases.
Domestic car sales fell to 26,612 units in January, compared with 45,480 units a year earlier, PT Astra International said, citing figures from the Association of Indonesian Automotive Industries.
Astra, Indonesia's biggest auto distributor, posted a 20 percent drop in domestic sales to 17,341 units last month from 21,657 units a year earlier, the association said.
Car sales are slowing in Indonesia as rising rates force prospective buyers to defer purchase plans. Indonesia's central bank raised its key interest rate to 12.75 percent in December, from July's 8.5 percent, to stem a decline in the nation's currency. January's decline is the biggest since February 1999.
Indonesian carmakers exported 2,092 vehicles last month, Astra said in the statement.