The Jakarta Post
The Central Statistics Agency (BPS) on Tuesday recorded the country’s inflation rate at 3.61 percent, lower than the 4.3 percent target set in the 2017 State Budget.
"We can say that volatile foods were controllable in 2017. We need to maintain this performance in 2018," said BPS head Suhariyanto at a press conference in Jakarta.
This year's inflation rate, however, is higher than the figures in the last two years -- 3.02 percent in 2016 and 3.35 in 2015.
BPS deputy for statistics distribution and service Yunita Rusanti said the increase in administered prices, particularly the electricity tariff increases, contributed significantly to the inflation rate for the whole of 2017.
“Electricity price increases were dominantly contributing to inflation. This year, the contribution of rice price hikes to inflation was less than its contribution in the last two years,” she added.
Inflation in December was recorded at 0.71 percent, much higher than the figure in November, which was recorded at 0.20 percent. This inflation in December 2017 was also higher than the figure in the same month, last year, which was recorded at 0.42.
BPS says volatile foods contributed 0.46 percent in December, while transportation, communication and financial services contributed 0.14 percent to inflation.
The agency records price increases of several food commodities such as rice, chicken, fish, chili and eggs. (srs/bbn)