'€œOf the total 66 consumer price index (IHK) cities, all of them suffered inflation in July,'€ said BPS head Suryamin in a press conference in Jakarta on Thursday as quoted by Antara news agency.

He said such a high inflation rate in July occurred due to increases in food commodity and transportation prices, as the impact of subsidized-fuel price increases in June.

'€œIndirect impacts of the fuel price increases still can be felt, particularly in regards to transportation prices, production costs and other commodities, which saw increases,'€ said Suryamin.

He added the headline inflation component contributed 3.29 percent to the July inflation, followed by 0.99 percent core inflation.

Meanwhile, administered prices contributed 7.9 percent to the month'€™s inflation, followed by volatile prices 6.07 percent.

'€œThe inflation rate in July was relatively high. The last time high inflation occurred was in July 1998, during which the rate of inflation stood at 8.56 percent. But at that time, we were suffering a crisis,'€ said Suryamin.

The BPS recorded that staple foods contributed 1.36 percent to July'€™s inflation rate, followed by transportation, communication and financial services that suffered the highest inflation of 1.5 percent, followed by processed food, beverages, cigarettes and tobacco contributing 0.28 percent to the month'€™s inflation.

Calendar year inflation for January-July stood at 6.75 percent, while year-on-year inflation stood at 8.61 percent in July.

Meanwhile, the rate of core component inflation in July stood at 0.99 percent and 4.44 percent year-on-year. (ebf)

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