JAKARTA (TheInsiderStories) – Indonesia recorded inflation of 0.20 per cent in November over the previous month, with Consumer Price Index (CPI) recorded at 130.35 points, driven by the increase of all product groups, Statistics Indonesia announced on Monday (04/12). In October, the CPI was recorded at 0.01 per cent.
Given the November inflation, the inflation rate for the calendar year (January-November) 2017 reached 2.87 per cent and the year-on-year inflation rate (November 2017 to November 2016) stood at 3.30 per cent.
The Statistics Indonesia data showed, the food products recorded the highest increase in the month, rising by 0.37 per cent, followed by discretionary food component, cigarettes, tobacco rising by 0.22 per cent; housing, electricity, fuel and gas component increasing by 0.13 per cent; clothing component increasing by 0.12 per cent; health products up by 0.27 per cent; education, recreation and sport component rising by 0.10 per cent; and transportation, communication, and financial service increasing by 0.09 per cent.
Bank Indonesia has lowered its benchmark policy rate, BI 7-Days Repo Rate, so far this year to 4.25 per cent. The move was accompanied by plans to tweak credit rules in a bid to help stimulate commercial lenders’ loans and spur consumption.
Looking ahead, Statistics Indonesia underlines inflation trend in the first three quarters of this year, and particularly in December when there is a rising trend in Christmas and New Year period. If the government can manage inflation during this period, an inflation target range of 4 per cent will be achieved.
Foreign Tourist Up 2.70%
Meanwhile the bureau reported 938,250 foreign tourists come to the country in October, or up 2.70 percent from the same month last year. It is the slowest growth since June 2016 and compares with a 12.70 percent annual increase in September.
The slowdown was caused by alert status raised for Mount Agung in Bali. In October, the total number of foreign visitors, including those passing through Indonesia’s borders from neighboring countries and foreign workers with permits for less than one year, was 1.16 million, up 11.33 percent from a year earlier.
Written by Roffie Kurniawan, Email: email@example.com