Bank Indonesia's Latest Strategy To Control Inflation Ahead Of Eid

Illustration (Photo: Doc. Ministry of Finance)

JAKARTA Bank Indonesia (BI) is committed to continuing to maintain inflation in moderate limits through a number of strategic efforts. Most recently, BI Governor Perry Warjiyo revealed that he would focus on food security and production steps by agri farming and digitizing agriculture.

"We encourage it through digitalization so that the supply of goods in the market can be maintained ahead of Eid al-Fitr," he said through a digital channel on Wednesday, April 5.

According to Perry, the central bank together with the government also initiated the provision of aid or transportation subsidies to business actors in order to facilitate the distribution process of goods.

"We have budgeted for transportation costs with the government so that the supply of goods becomes smooth and inflation can be controlled," he said.

Perry added that the program that is considered successful so far is the Chili Plant Movement which has an impact on maintaining the commodity inflation rate. In addition, a series of other efforts are replica business models, and strengthening coordination and communication with related parties.

"We are all doing this to control food inflation in order to help prosper the people," said Perry.

For information, the movement of domestic inflation continues to be maintained with a final record of 4.97 percent year on year (yoy) in March 2023. This level is lower than February 2023 which amounted to 5.47 percent.

Meanwhile, core inflation, which became BI's reference, was recorded at 2.94 percent or sloping from the previous month which was perched at 3.09 percent.