Jakarta, 1 February 2024 – The Central Statistics Agency (BPS) reported that the inflation rate in January 2024 was recorded at 3.1% year-on-year (yoy), still within Bank Indonesia’s target range of 3.0±1%.
Inflation Details
Components of Inflation:
- Core inflation: 2.8%
- Volatile food prices: 4.2%
- Energy prices: 2.5%
- Transport inflation: 2.9%
Main Cause
- Increase in Food Prices
- Rice: +5.2%
- Chile: +8.4%
- Chicken eggs: +3.2%
- Administration Rates
- Electricity tariff: +1.5%
- Water rate: +2.0%
- Fuel: Stable
Inflation Control
Government Steps:
- Staples market operations
- Coordination with the regions
- Distribution optimization
- Strengthening food reserves
“Inflation is still under control and in line with expectations,” said Head of BPS Amalia Adininggar.
Forward-Looking Prospects
Bank Indonesia estimates:
- Inflation 2024: 2.8-3.6%
- Food price stability
- Controlled energy prices
- Core inflation moderates
Economic Impact
- People’s purchasing power is maintained
- Real sector stability
- Business certainty
- Conducive investment climate