Indonesia: Inflation eases in July
August 1, 2016
In July, consumer prices increased 0.69% over the previous month, which was slightly higher than the 0.66% rise recorded in June. According to Statistics Indonesia, July’s reading came mainly on the back of higher prices for foodstuffs as well as transport, communications and financial services.
Inflation fell from 3.5% in June to 3.2% in July, which marked the lowest reading since November 2009. The reading came in below the 3.4% that market analysts had expected. Meanwhile, annual average inflation fell from 4.9% in June to 4.6% in July. Core consumer prices, which exclude volatile items such as food and administered prices, increased 0.34% over the previous month (June: +0.33% month-on-month). Core inflation was steady at June’s 3.5% in July.