In February, consumer prices added 0.13% over the previous month. The rise, which was below the 0.89% price rise observed in January, mainly reflected higher health costs, although falling food prices helped to curb the monthly increase. As a result, annual inflation decelerated slightly from 7.0% in January to 6.8% in February and came in below market analyst expectations, which had seen inflation increasing to 7.3%. Annual average inflation rose from 5.4% in January to 5.7% in February, continuing the upward trend that began in May 2010. Although inflation remains elevated, the Central Bank decided to maintain the benchmark rate at 6.75% at its most recent meeting on 4 March. The dovish stance taken by the Bank broadly matched market expectations. Nevertheless, the Bank stressed that further tightening of monetary policy will be taken into consideration, as high inflationary pressures prevail. The Central Bank set an inflation target of 5.0% 1% for this year and 4.5% 1% for 2012.
Inflation drops slightly in February
March 1, 2011
Looking for forecasts related to Inflation in Indonesia? Download a sample report now.
Indonesia Economic News
October 20, 2016
At its 19–20 October monetary policy meeting, Bank Indonesia decided to cut the BI seven-day Reverse Repo rate (BI seven-day RR rate) from 5.00% to 4.75%.
October 17, 2016
Indonesia’s trade surplus rose in September to a 14-month high as imports deteriorated.
October 12, 2016
Retail sales in August expanded 14.4% over the same month last year, according to Bank Indonesia’s Retail Sales Survey (RSS).
October 3, 2016
In September, consumer prices increased 0.22% from the previous month, which contrasted the 0.02% fall recorded in August.
October 3, 2016
The manufacturing Purchasing Managers’ Index (PMI) rose from 50.4 in August to 50.9 in September, according to a release provided by Nikkei and IHS Markit.