Inflation declines to lowest level since September 2023 in June

Inflation ticked down to 2.5% in June, which followed May’s 2.8%. June's figure represented the weakest inflation rate since September 2023. The sharper drop compared to May’s decline was largely driven by softer increases in prices for food, clothing and footwear, housing, water, electricity and household fuels, and recreation and entertainment. Accordingly, the trend pointed down slightly, with annual average inflation coming in at 2.8% in June (May: 2.9%). Meanwhile, core inflation was unchanged, coming in at May's 1.9% in June. Finally, consumer prices fell 0.08% in June over the previous month, a sharper drop than the 0.03% fall logged in May. June's result marked the weakest reading since October 2022.

How should you choose a forecaster if some are too optimistic while others are too pessimistic? FocusEconomics collects Indonesian inflation projections for the next ten years from a panel of 38 analysts at the leading national, regional and global forecast institutions. These projections are then validated by our in-house team of economists and data analysts and averaged to provide one Consensus Forecast you can rely on for each indicator. By averaging all forecasts, upside and downside forecasting errors tend to cancel each other out, leading to the most reliable inflation forecast available for Indonesian inflation.

Download one of our sample reports to visualize what a Consensus Forecast is and see our Indonesian inflation projections.

Want to get access to the full dataset of Indonesian inflation forecasts? Send an email to info@focus-economics.com.