Indonesia’s inflation remained stable and aligned with the BI’s target range. August’s trends in core inflation, administered prices, and the volatile food group underscore the ongoing efforts to preserve price stability amid diverse challenges, most notably the El Nino phenomenon—which is expected to peak in August until September—as well as Russia’s suspension of Black Sea...Read More

Inflation slowed further after the normalization of global prices and the domestic price control program implementation. The economy also grew stronger than expected in the second quarter of this year, thanks to robust domestic demand. External pressures, on the other hand, have intensified as the Fed raised interest rate again at the July FOMC, resulting...Read More

The latest inflation figure eased and fell in the range of BI’s target of 3±1%. Other indicators, such as CCI and PMI, also showed that the domestic economy remained solid, with optimistic consumer expectations and producers standing above the expansionary territory. On the external side, the Fed’s decision to keep its rate unchanged has allowed...Read More

Headline inflation rate eased to the upper range of BI’s target with benign core inflation. Amidst declining commodity prices driven by declining global demand, the trade balance still posted a modest surplus with a remarkable performance of imports reflecting the ongoing domestic economic improvements amid the risk of a global slowdown. Externally, the Fed’s current...Read More

Headline inflation is gradually subsiding with steady core inflation that indicates strong and manageable domestic demand. Externally, the less aggressive monetary tightening from the Fed and attractive yield spread have accommodated capital inflows to Indonesia. As a result, Rupiah is appreciating to the strongest level reaching IDR14,670 in early May supported by the rush upsurge...Read More

The inflation figure moved in a favourable direction as it decreased to 4.97% (y.o.y), getting closer to BI’s target range of 3±1%. From the external side, the pressure to delay monetary tightening by the US has created momentum for flow of funds into emerging markets, including Indonesia, resulting in capital inflows of IDR8.21 trillion in...Read More

The inflation figure moved in reverse direction as it increased to 5.47% (y.o.y), after a downward pattern since September 2022. This mainly contributed by the combination of supply disruptions due to the occurrence of flood during the harvest season and the low base effect that played a role. From the external side, the expectation of...Read More