BI: Inflation remains low and under control in November 2019
JAKARTA - Consumer Price Index (CPI) inflation in November 2019 remains low and under control. CPI inflation in November 2019 which remained low at 0.14% (mtm) was supported by slowing core inflation and stable administered prices inflation. With these developments, CPI inflation up to November 2019 reached 2.37% (ytd), or on an annual basis recorded 3.00% (yoy), down compared to October 2019 inflation of 3.13% (yoy).
Bank Indonesia remains consistent in maintaining price stability and strengthening policy coordination with the Government, both at the central and regional levels, to ensure inflation is maintained within the target range. Bank Indonesia predicts that low inflation will continue so that the 2019 CPI inflation will be around 3.1% and remain within the target range of 3.0 ± 1% by 2020.
Core inflation has slowed, thereby supporting CPI inflation. Core inflation was recorded at 0.11% (mtm), lower than the previous month's inflation of 0.17% (mtm). Based on commodities, the slowing down of core inflation was mainly supported by the normal return of the prices of noodles and rice with side dishes which had contributed to inflation in the previous month. Meanwhile, other commodities such as house contract rates and house rental rates contributed to core inflation in November 2019. Annually, core inflation was recorded at 3.08% (yoy), down compared to inflation in October 2019 at 3.20% (yoy ).
Administered prices inflation remained stable. Administered prices inflation was recorded at 0.03% (mtm), or the same compared to inflation in the previous month. Inflation that was recorded stable was influenced by rising inflation in various cigarette commodities amid continuing deflation in air transportation. (LM)