You are here

Indonesia's annual inflation rate increases up again in May

Friday, June 2, 2017 - 10:31

indo.jpg
Indonesia's annual inflation rate climbed again in May to reach the highest in 14 months, data from the statistics bureau showed on Friday, but the increase was slightly less than expected.

[JAKARTA] Indonesia's annual inflation rate climbed again in May to reach the highest in 14 months, data from the statistics bureau showed on Friday, but the increase was slightly less than expected.

Consumer prices rose 4.33 per cent in May from a year earlier, the highest annual increase since March 2016, according to the bureau.

A Reuters poll expected an annual rate of 4.37 per cent, compared with April's rate of 4.17 per cent. An increase was anticipated because price pressures traditionally intensify in the days leading to the Muslim fasting month of Ramadan, which began on May 27.

On a monthly basis, the consumer price index rose 0.39 per cent as prices of food such as garlic, eggs, chicken, rice meant chili increased.

sentifi.com

Market voices on:

Core inflation rate, which excludes government-controlled and volatile food prices, went in a different direction and cooled to 3.20 per cent in May, from 3.28 per cent in April. The poll had expected a rate of 3.31 per cent.

Indonesia's central bank targets annual inflation at 3-5 per cent this year, but it has said the rate may reach the top of that range at the of 2017. BI's next policy meeting is scheduled for June 14-15.

REUTERS

Nespresso
Pair your daily business read with the perfect cup of espresso.

Subscribe to The Business Times today to receive your very own Nespresso Inissia coffee machine worth $188.

Find out more at btsub.sg/btdeal

Powered by GET.comGetCom