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Indonesia's Inflation Rate at 1.17% September; Highest in 94 Months

3 October 2022 13:23 WIB

BPS building in Jakarta. Credit: Antara News/Dewa Wiguna

TEMPO.CO, Jakarta - The Indonesian central statistics agency, BPS, announced that the monthly inflation rate in September 2022 stood at 1.17 percent, the highest in 94 months or since December 2014. September's figures brought the country's annual inflation rate up to 5.95 percent.

"September's inflation was 1.17 percent, the highest since December 2014," BPS chief Margo Yuwono said on Monday, October 3.

Some of the main contributing factors to September's inflation rate were the prices of fuel, rice, and inner-city transportation fares.

Margo said that Bukittinggi was the city with the highest inflation, with the main factors being the price hikes of fuel and rice.

The central bank's Department of Economic and Monetary Policy director, Wahyu Agung Nugroho, said that fuel price hike's impact could also be seen in the rising fares for inner-city and cross-city transportation.

According to results from BI's Price Monitoring Survey, inner-city transportation fares contributed 0.06 percent (monthly) to inflation, while cross-city transportation contributed 0.02 percent. Wahyu estimated that the fuel price hike will continue to have an impact on inflation over the next two to three months.

With these developments, the central bank projected that the core inflation rate by the end of the year will be in the range of 4.6 percent.

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