Minister Of Home Affairs Claims That People's Purchasing Power Is Maintained Despite Inflation

Minister of Home Affairs Tito Karnavian while reviewing food commodity prices at Tanah Tinggi Main Market, Tangerang City, Banten, Friday (4/1/2025). (ANTARA/HO-Puspen Ministry of Home Affairs)

JAKARTA - Minister of Home Affairs (Mendagri) Muhammad Tito Karnavian emphasized that people's purchasing power is maintained despite the increase in inflation.

This was conveyed by the Minister of Home Affairs when directly observing the prices of food commodities at the Tanah Tinggi Main Market, Tangerang City, Banten, Friday, January 3.

"The fact is that inflation, increase, although not too high. This means, in my opinion, people's purchasing power is still quite affordable," Tito said in a statement quoted by ANTARA.

He explained that core inflation is currently showing an increase, although it is still within control. According to him, this indicator reflects people's purchasing power for non-pook needs can still be maintained.

"Well, if you want to see purchasing power, in my opinion, we have to look at inflation, core inflation, outside of food (and) drinks," he added.

During his visit, the Minister of Home Affairs also had a direct dialogue with traders to get an overview of the price conditions and supply of commodities such as red chilies, shallots, rice, and cooking oil.

Tito also compared the data presented by the Acting Mayor (Pj.) of Tangerang with conditions in the field.

I want to check what the Mayor said earlier in his presentation, in the field what it looks like, in this market. Earlier I checked in cayenne pepper, it actually decreased in price," explained Tito.

In addition, Tito highlighted that the price increase during the Christmas and New Year (Nataru) holidays is a reasonable seasonal pattern, similar to during Eid.

"Because demand is increasing, yes. Well, but the Central Statistics Agency (BPS) released that the price increase in service goods even though there was an increase, but it was relatively stable," he said.

Through this review, the Minister of Home Affairs hopes that local governments can continue to monitor market conditions, maintain price stability, and ensure commodity supplies remain available to support people's purchasing power in the midst of various economic dynamics.