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JAKARTA - The Central Statistics Agency (BPS) reported that the inflation rate in Indonesia in July 2022 was 4.94 percent on an annual basis (year on year / yoy).

Head of BPS Margo Yuwono said that the inflation achievement was the highest since October 2015 with a record of 6.25 percent.

“Inflation was mostly contributed by the volatile price component of 0.25 percent which came from red chili, shallots and cayenne pepper commodities. Then the second comes from the price component that is regulated by the government at 0.21 percent of air transportation rates, household fuel, cigarettes, and electricity tariffs," he said through an online channel when giving a presentation to reporters, Monday, August 1.

Margo added that core component inflation contributed 0.18 percent with fresh fish commodities, cars and house rentals.

"Until July 2022, core inflation is still relatively stable, covering around 700 commodities," he said.

Inflation itself occurs in all cities which is the main indicator of BPS without any cities experiencing deflation.

Of the 90 cities, the highest inflation was in Kendari with 2.27 percent.

While the lowest was in Pematang Siantar and Tanjung with 0.04 percent.

VOI noted that inflation in July 2022 with 4.94 percent was the highest so far this year.

The upward trend has occurred since February which was at the level of 2.03 percent.

Just so you know, the government through the Ministry of Finance (Kemenkeu) together with Bank Indonesia initially estimated that inflation could be maintained in the range of 3 percent plus minus 1 percent for the 2022 period.

However, the latest developments have made the government then make an upward projection this year with an estimate that it will touch 4.5 percent.


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