Transportation Becomes The Main Factor Cause Of 0.87 Percent Inflation In May

JAKARTA - The Central Statistics Agency (BPS) released data that transportation was a major contributor to inflation in May 2020. In fact, transportation contributed up to 0.10 percent inflation, bigger than other expenditure groups.

Head of BPS Suhariyanto said that air transport fares and rail fares are the main contributors to inflation in the transportation sector. In fact, the government has asked the community not to go home during the Lebaran 2020 period. However, apparently the community is still carrying out these activities. As a result, transportation sector inflation was the biggest contributor in May.

"If we look at the air transport tariffs that contributed to inflation of 0.08 percent, as well as the rail rates which contributed 0.02 percent. The increase in intercity air transport rates occurred in 39 cities, for example the highest was in Gunung Sitoli, amounting to 38 percent, "he said, in a video conference with journalists, Tuesday, June 2.

According to Suhariyanto, this increase in transportation rates caused transportation to contribute the most in May 2020. However, this was not the biggest inflation compared to last year.

"But if we compare it to the position of Ramadan or Eid in the previous year, the inflation is still very low," he explained.

Meanwhile, the food, beverage and tobacco category recorded a deflation of minus 0.32 percent with a share of minus 0.08 percent. Deflation in this group occurred due to lower prices for a number of commodities.

"The prices of various foods have decreased, causing deflation, including red chilies, eggs, garlic, cayenne pepper, onions," he said.

Even so, said Suhariyanto, several commodities experienced price increases that contributed to inflation, such as shallots which contributed to inflation by 0.06 percent, chicken meat 0.03 percent, beef and filter clove cigarettes each 0.01 percent.

The details are, for the health group experiencing inflation 0.10 percent, personal care and other services 0.12 percent, equipment, equipment and household routine maintenance 0.10 percent, provision of food and beverages or restaurants 0.08 percent, housing, water, electricity, and household fuels 0.04 percent. All of these groups contributed to the 0.01 percent inflation.

Meanwhile, the clothing and footwear group recorded an inflation of 0.09 percent, information, communication and financial services 0.08 percent, recreation, sports and culture 0.06 percent, and education 0.00 percent. Despite experiencing inflation, he said, all these sectors did not contribute to inflation in May 2020.

Suhariyanto explained that inflation in May 2020 was recorded at 0.07 percent month to month (mtm). By calendar year or year to date (ytd) from January to May this year is 0.90 percent. Meanwhile, inflation on an annual basis or year on year (yoy) was recorded at 2.19 percent.

"The results of the BPS survey showed that BPS monitored the price developments of various commodities in 90 cities in May 2020, in general, showed an increase, even though it was very slight. Based on BPS monitoring results in 90 cities in May 2020 there was an inflation of 0.07 percent," he said.