'It seems unlikely to see deflation in May. However, even if there is inflation, we will have a low inflation rate,' said Bambang in Jakarta on Thursday, as quoted by Antara news agency.

Bambang added that another causal factor of inflation in May was the government's plan to raise the subsidized fuel price expected to take effect in June.

'It is also one of the factors responsible for inflation in May. The range will be under 1 percent,' he said.

Central Statistics Agency (BPS) data shows that 0.1 percent deflation occurred in April due to the decline in prices of staple foods.

BPS head Suryamin said the stable price of garlic was one of the reasons behind the deflation in April, in that it contributed 0.18 percent to the deflation.

Gold jewelry contributed 0.1 percent to the deflation, followed by rice at 0.06 percent, tomatoes and chili at 0.03 percent each, and broiler chicken and fresh fish at 0.02 percent.

Therefore, the calendar year inflation rate for January-April stood at 2.32 percent and 5.57 percent year-on-year. Meanwhile April core inflation stood at 0.14 percent and 4.12 percent year-on-year. (ebf)

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