TEMPO.CO, Jakarta - Bank Indonesia Governor Agus Martowardojo said the government remains consistent in keeping the inflation rate below 4.0 percent, (+/- 1.0%).
According to Agus, this year's inflation rate is projected to be lower than said target. Therefore, by 2018, inflation target will be set lower at 3.5% (+/- 1.0 percent).
Read: 4.36 Percent Inflation Expected in 2017
Agus said in Jakarta Thursday that the government has established Inflation Control Teams at the central and regional levels. The teams are conducting various innovations and programs to reduce inflation.
The first is by strengthening the legal basis and simplifying inflation control activities. The second is reinforcing synergies in regional program-planning and inflation activities as regulated in the Home Affairs Minister's Regulation No.33/2017 on the Guidelines for State Budget Drafting.
The third is by developing information and coordination system for controlling food prices through the national strategic price information center.
Read: Inflation Rate Expected to Increase in July 2017
Based on data compiled by BPS, Indonesia's inflation as of mid-2017 was quite low and under control. The Consumer Price Index (CPI) of 2016 was at 3.02 percent, the lowest since 2010.
"The consumer price index's inflation during the fasting and Eid period in June 2017 was the lowest inflation for Eid in the last six years," said Agus.
DESTRIANITA
