The recent violent protests in Jakarta and other regions have caused severe economic disruption across multiple sectors. According to the Indonesian Retail and Tenants Association (Hippindo), retailers in Jakarta alone recorded an estimated IDR 500 billion (US$30 million) in sales losses between August 28 and September 1. The decline was primarily due to shopping malls either closing completely or shortening operating hours, with luxury retailers, fashion outlets, and department stores experiencing the sharpest declines in customer traffic. In contrast, suburban supermarkets and hypermarkets reported a 10–15 percent increase in weekend sales, driven largely by panic buying in areas such as Serpong, Cibubur, and Bekasi.
Hippindo emphasized the need for urgent government intervention to restore public order, rebuild consumer confidence, and reassure both investors and tourists. The unrest led to widespread cancellations of exhibitions and tourist trips, further dampening economic activity. Although some luxury retailers took precautionary measures by securing valuable merchandise, operations resumed to normal by early September.
The demonstrations also disrupted traditional markets and micro-enterprises. Vendors in Jatinegara Market were forced to close early due to nearby clashes, while schools and universities extended remote learning policies. This left campus canteens and cafeterias empty, severely impacting small businesses reliant on student traffic. Bars and restaurants in Jakarta similarly postponed events, citing safety concerns.
Digital commerce was also affected. TikTok suspended its live-streaming feature nationwide during the height of the unrest, eliminating a key sales channel for micro, small, and medium enterprises (MSMEs). The Indonesian MSME Industry Association (Akumandiri) reported members losing up to 90 percent of daily income due to restricted operations, disrupted supply chains, and halted courier services. TikTok Live resumed after several days, but losses had already mounted significantly.
Public infrastructure also sustained heavy damage. The Ministry of Public Works estimated nationwide infrastructure losses at IDR 900 billion (US$59 million), with East Java recording the highest costs. Damage included toll gates, bus shelters, and local government buildings. Minister Dody Hanggodo confirmed that emergency funds were being allocated under direct presidential instructions, treating the situation as a national emergency.
Beyond immediate financial losses, analysts argue that the unrest reflects deeper structural grievances. According to Deni Friawan, a senior researcher at the Centre for Strategic and International Studies (CSIS), the protests were fueled by long-standing economic dissatisfaction linked to perceived government mismanagement, fiscal waste, and inequality. Citizens, he noted, have been burdened by taxes and austerity while observing government inefficiencies such as expanded bureaucracies, vacant posts in state-owned enterprises, and rising salaries for officials. The recent killing of a motorcycle taxi driver during a protest further intensified public anger.
Deni stressed that the government must rebuild public trust by demonstrating fiscal responsibility, eliminating elite privileges, and addressing worsening economic conditions with transparency and accountability. He emphasized that only through empathetic leadership and responsible governance can confidence be restored and further unrest prevented.
September 2, 2025, The Jakarta Post
(https://www.thejakartapost.com/business/2025/09/02/protests-cost-retailers-rp-500b-as-tiktok-live-pause-hurts-smes.html)