July 2011 Inflation Rate 4.61%

Inflation Report (Consumer Price Index)
Based on Year on Year Measurement

Month / Year ----- Inflation
July 2011 ----- 4.61%
June 2011 ----- 5.54%
May 2011 ----- 5.98%
April 2011 ----- 6.16%
March 2011 ----- 6.65%
February 2011 ----- 6.84%
January 2011 ----- 7.02%

June 2011 Inflation Rate 5.54%

Inflation Report (Consumer Price Index)
Based on Year on Year Measurement

Month / Year ----- Inflation
June 2011 ----- 5.54%
May 2011 ----- 5.98%
April 2011 ----- 6.16%
March 2011 ----- 6.65%
February 2011 ----- 6.84%
January 2011 ----- 7.02%

May 2011 Inflation Rate 5.98%

Inflation Report (Consumer Price Index)
Based on Year on Year Measurement

Month / Year ----- Inflation
May 2011 ----- 5.98%
April 2011 ----- 6.16%
March 2011 ----- 6.65%
February 2011 ----- 6.84%
January 2011 ----- 7.02%

April 2011 Inflation Rate 6.16%

Inflation Report (Consumer Price Index)
Based on Year on Year Measurement

Month / Year ----- Inflation
April 2011 ----- 6.16%
March 2011 ----- 6.65%
February 2011 ----- 6.84%
January 2011 ----- 7.02%

March 2011 Inflation Rate 6.65%

Inflation Report (Consumer Price Index)
Based on Year on Year Measurement

Month / Year ----- Inflation
March 2011 ----- 6.65%
February 2011 ----- 6.84%
January 2011 ----- 7.02%

February 2011 Inflation Rate 6.84%

Inflation Report (Consumer Price Index)
Based on Year on Year Measurement

Month / Year ----- Inflation
February 2011 ----- 6.84%
January 2011 ----- 7.02%

January 2011 Inflation Rate 7.02%

Inflation Report (Consumer Price Index)
Based on Year on Year Measurement

Month / Year ----- Inflation
January 2011 ----- 7.02%
December 2010 ----- 6.96%

December 2010 Inflation Rate 6,96%

Inflation Report (Consumer Price Index)
Based on Year on Year Measurement

Month / Year ----- Inflation
December 2010 ----- 6.96%
November 2010 ----- 6.33%
October 2010 ----- 5.67%
September 2010 ----- 5.80%
August 2010 ----- 6.44%
July 2010 ----- 6.22%
June 2010 ----- 5.05%
May 2010 ----- 4.16%
April 2010 ----- 3.91%
March 2010 ----- 3.43%
February 2010 ----- 3.81%
January 2010 ----- 3.72%

November 2010 Inflation Rate

Inflation Report (Consumer Price Index)
Based on Year on Year Measurement

Month / Year ----- Inflation
November 2010 ----- 6.33%
Oktober 2010 ----- 5.67%
September 2010 ----- 5.80%
Agustus 2010 ----- 6.44%
Juli 2010 ----- 6.22%
Juni 2010 ----- 5.05%
Mei 2010 ----- 4.16%
April 2010 ----- 3.91%
Maret 2010 ----- 3.43%
Februari 2010 ----- 3.81%
Januari 2010 ----- 3.72%
Desember 2009 ----- 2.78%

Indonesia inflation hits 11.68%

JAKARTA - INDONESIA'S consumer price index (CPI) in November rose 11.68 per cent from a year earlier, the Statistics Bureau said on Monday, above expectations, and analysts expect the central bank to hold rates unchanged this week.

Analysts polled by Reuters had forecast annual inflation of 11.60 per cent in November, following October's inflation rate of 11.77 per cent.

Month-on-month inflation was 0.12 percent in November against a market forecast of 0.14 per cent and compared to 0.45 per cent in the previous month. The monthly figure is not seasonally adjusted.

The majority of analysts polled before the data was released had predicted that the central bank would keep its benchmark rate unchanged at its next policy meeting, due on Thursday.

Indonesia inflation 11.68 pct in November: statistics agency

Jakarta (ANTARA News) - Indonesia's annual inflation dropped to 11.68 percent in November from 11.77 percent in October due to lower energy and commodity prices, according to official figures Monday.

The November consumer price index (CPI) fell to 0.12 percent month on month compared to 0.45 percent the month before, the statistics agency was quoted by AFP as saying.

The latest figures fell below the median forecast of 11 economists polled by Dow Jones Newswires, who predicted an average CPI rise of 0.17 percent month
on month and 11.71 percent year on year.

Despite the easing inflation, analysts predicted the nation's central bank, Bank Indonesia, will not cut its policy rate from 9.50 percent when it meets Thursday.

Fears over a vulnerable rupiah, which has fallen by 24 percent against the dollar this year, will likely stay the central bank's hand, analysts said. (*)

11.77 % October 2008

Indonesia - 11.77 percent for October following the previous month’s CPI of 12.14%, which was a 2-year high, due to higher food prices ahead of the Eid al-Fitr Muslim celebrations

September 2008 Inflation Rate

Inflation Report (Consumer Price Index)
Based on Year on Year Measurement

Month / Year ----- Inflation
September 2008 ----- 12.14 %
August 2008 ----- 11.85 %
July 2008 ----- 11.90 %
June 2008 ----- 11.03 %
May 2008 ----- 10.38 %
April 2008 ----- 8.96 %
March 2008 ----- 8.17 %
February 2008 ----- 7.40 %
January 2008 ----- 7.36 %
December 2007 ----- 6.59 %
November 2007 ----- 6.71 %
October 2007 ----- 6.88 %

Source: www.bi.go.id

Indonesia raises key interest rate as inflation gains

Indonesia's central bank raised its policy rate to slow inflation and boost the rupiah after the nation's stock index plunged 10 percent yesterday amid a global credit crisis.

Bank Indonesia Governor Boediono and his seven colleagues raised the BI Rate to 9.5 percent today, from 9.25 percent. Fourteen of 19 economists surveyed by Bloomberg News forecast today's move, with five expecting no change.

Indonesia refrained from joining Australia, which cut rates today by the most since a recession in 1992, China and Taiwan in reducing borrowing costs after inflation accelerated last month to a two-year high. Still, today's increase may be the last this year as the central bank shifts its focus to supporting growth, said Helmi Arman at PT Bank Danamon Indonesia.

``They must be careful not to overdo'' rate increases because it could affect growth, said Arman, based in Jakarta. ``At 9.5 percent there will already be a quite thick spread over inflation expectations.''

A benchmark rate of 9.5 percent would be ``adequate'' to keep price gains between 6.5 percent and 7.5 percent next year, Deputy Governor Hartadi Sarwono said in an interview on Aug. 8. Today's decision marked the sixth straight increase in the policy rate by Bank Indonesia.

``The move to increase the rate is consistent with our monetary-policy strategy,'' Boediono said at a briefing in Jakarta. ``The policy to stabilize the rupiah is directed toward avoiding excessive fluctuation.''

Rupiah Declines

The rupiah fell 0.2 percent to 9,595 against the dollar at 12:01 p.m. in Jakarta, extending yesterday's 1.5 percent decline. The currency has dropped 2.3 percent in the past month, increasing the cost of importing fuel, soybean and wheat.

``The need to support the rupiah should help Bank Indonesia justify its decision to raise the rate,'' said Destry Damayanti, chief economist at PT Mandiri Sekuritas in Jakarta.

Consumer prices rose 12.1 percent from a year earlier last month, after gaining 11.85 percent in August.

``We expect inflation to remain above 11 percent through January, and for that reason,'' the central bank was expected to raise the rate, Michael Spencer, chief Asia economist at Deutsche Bank AG, said in a note to investors. ``Slowing growth and, eventually, falling inflation should see the central bank cutting rates in the second half of 2009.''

Accelerating inflation and a rout in commodity stocks led to the biggest decline in the benchmark stock index yesterday since the 2002 Bali bombings.

Indonesia's President Susilo Bambang Yudhoyono yesterday said his government seeks to keep economic growth at 6 percent and will remain alert amid the credit-crisis ``tsunami,'' which started in the U.S.


Source: bloomberg.com

Publication date: 10/8/2008

BI raises rate to 9.50% on inflation concerns

Bank Indonesia (BI) has raised its benchmark rate for the sixth time this year, from to 9.25 to 9.5 percent, amid inflationary pressures and global economy concerns. The central bank governor Boediono told reporters Tuesday that the key rate was increased to suit high inflation and to anticipate the global financial crisis.

The country's annual price inflation spiked to its highest level in September, rising by 12.14 percent compared to a year earlier.

The Central Statistics Agency reported on Monday that monthly inflation reached 0.97 percent in September, up significantly from 0.51 percent in August. (dre)
Source : The Jakarta Post, Oktober 7 2008

Ramadan propels September inflation

Inflation in September reached higher-than-forecast 0.97 percent, with consumer prices pushed up by high demand during the fasting month and ahead of the Idul Fitri holiday, the Central Statistics Agency (BPS) reported Monday.

The 0.97 percent monthly inflation was above the government's expectation of 0.8 percent.

"(The inflation rate in) September was the highest of the past three Ramadan festivals, as the fasting month fell throughout September," said BPS deputy chairman for distribution statistics Ali Rosidi.

Last year, the fasting month started mid-September and ended mid-October. In 2006, it began late September and ended late October.

On a yearly basis, inflation in September rose to 12.14 percent from a year earlier, up from 11.85 percent in August, BPS reported.

Between January and September, inflation reached 10.47 percent.

The government projects inflation will reach 11.4 percent by the end of 2008, while the central bank estimates between 11.5 percent and 12.5 percent.

All 66 cities surveyed by BPS experienced inflation in September, based on the BPS data. Tarakan in East Kalimantan had the highest rate at 2.8 percent while Manado in North Sulawesi had the lowest at 0.03 percent.

Inflation nationwide was mostly contributed by the rising prices of staple foods, housing, water, electricity, gas and fuels. The prices of staple foods rose 1.9 percent, while the prices of housing, water, electricity, gas and fuels rose 1.22 percent.

Ali said inflation would likely decrease in October and November, but probably increase in December as consumer spending rose again for Christmas and the New Year celebrations.

Last year, inflation reached 0.8 percent in September, 0.79 percent in October, 0.18 percent in November and 1.1 percent in December, according to BPS.

Standard Chartered Bank senior economist Fauzi Ichsan said inflation would reach about 12 percent by the end of 2008.

With the high September inflation and the weakening rate of the rupiah against the dollar, Fauzi predicted the central bank would raise "its interest rate by 25 basis points" on Tuesday, bringing the rate to 9.5 percent.

He said a rise in the Bank Indonesia (BI) rate would bring the rupiah closer to Rp 9,500 to the US dollar, which would reduce imported inflation.

"If the rupiah exceeds the level of 9,500 (per dollar), it may quickly snowball to reach 10,000 (per dollar)."

On Monday, the rupiah slipped 1.5 percent to 9,575 per dollar, Bloomberg reported.

BI deputy governor Hartadi A. Sarwono said market players should not panic seeing the decline in the rupiah. "BI will always be in the market."

Aditya Suharmoko, The Jakarta Post, Jakarta

Indonesia's inflation accelerates to two-year high

Indonesia's inflation accelerated to the fastest pace in two years in September, sustaining pressure on the central bank to increase borrowing costs. The rupiah and the benchmark stock index fell. Consumer prices rose 12.14 percent from a year earlier last month, after gaining 11.85 percent in August, the Central Statistics Bureau said in Jakarta today. That compares with the 11.96 percent median forecast of 18 economists surveyed by Bloomberg News.

Prices rose in September as the nation with the world's largest Muslim population prepared to celebrate the end of the fasting month of Ramadan. That may prevent Bank Indonesia from joining other Asian central banks in reversing interest-rate increases even after the government said yesterday the global credit crisis may slow exports and affect growth.

"They are not in a position to cut interest rates but I think they will change their stance toward the end of the year,'' said Tomo Kinoshita, chief economist for Asia outside Japan at Nomura Holdings Inc. "Domestic demand has really been robust in Indonesia, which has not been seen in other parts of Asia.'' Indonesia's central bank may raise its policy rate tomorrow to 9.5 percent, the highest in 1 1/2 years, according to 14 of 19 economists surveyed by Bloomberg News.

The rupiah's decline may also prompt the central bank to increase its policy rate, said Sim Moh Siong, a strategist with Citigroup Inc. in Singapore. The currency slipped 1.5 percent to 9,575 against the dollar at 3:57 p.m. in Jakarta.

Stocks Fall

The benchmark stock index extended its loss after the inflation data was released. The measure plunged 10 percent in Jakarta today.

``Further gradual rate hikes for the rest of the year remain highly possible to keep inflation in check and to stabilize the rupiah,'' Sim said.

Still, Bank Indonesia and the government are ``increasing cooperation'' to limit the impact of the global liquidity squeeze on Southeast Asia's biggest economy, Governor Boediono said yesterday in Jakarta. The credit shortage may last as long as a year, he said.

Consumer prices rose 0.97 percent in September from a month earlier, the statistics agency said. Prices increase during Ramadan as Indonesian Muslims travel more to visit relatives and spend more money to prepare feasts for Id-ul-Fitr, which marks the end of the fasting month.

Fuel Prices

Two price increases in liquefied petroleum gas also led to an acceleration of inflation. PT Pertamina, the state oil company, raised the price of LPG sold in 12-kilogram (26-pound) canisters used by non-low-income households by 24 percent in July and 9.5 percent in August.

Gains in processed food-prices accelerated to 11.2 percent last month, while housing costs climbed 11 percent.

Indonesia's exports rose 30.3 percent to $12.5 billion in August, the statistics bureau said today. Imports from outside trade zones increased 45.4 percent to $10.1 billion, leaving a trade surplus of $2.45 billion.


Source: bloomberg.com

Publication date: 10/6/2008

Indonesian inflation increases in September

Jakarta (ANTARA News) - Indonesia's inflation rate rose a faster-than-expected 12.14 percent in September against a year ago, the Central Statistics Agency was quoted by AFP as saying Monday.

Analysts had forecast an annual rate of 11.99 percent, but said prices were driven higher by the cost of food and housing in the Ramadan festive season.

The central bank is expected to hike its benchmark interest rate by another 25 basis points on Tuesday to 9.50 percent in a bid to quell inflation, analysts said. (*)

RI'S 2008 Inflation to Reach 12.2 Percent

Jakarta - Indonesia's full-year inflation rate in 2008 is expected to reach 12.2 percent as the on-month inflation rate in August stood at 0.51 percent, an economist said.

"The governmment will find it very hard to achieve its inflation rate target of 11.4 percent set for this year. I predict the inflation rate would reach 12.2 percent in view of the current favorable economic developments," Ichsanuddin Noorsy of the Indonesia Awakening Team said here on Monday.

The Central Bureau of Statistics (BPS) said earlier in the day Indonesia's monthly inflation rate in August 2008 reached 0.51 percent, bringing the calendar inflation rate to 9.4 percent and the on-year inflation rate to 11.85 percent.

The August 2008 inflation was mainly the result of a 0.94 percent rise in the prices of foodstuffs and a 1.36 percent increase in the prices of services in the education, recreation and sports sectors, BPS Chief Rusman Heriawan said.

"The BPS did not record any increase in transport fares in August," he said.

The agency noted a rise in the prices of a number of commodities including fresh fish, chicken meat, eggs, and liquefied petroleum gas (LPG) as well as an increase in senior high school tuition fees contributed a lot to the August 2008 inflation.

"Although the rise in the prices of LPG was postponed it had contributed to the August 2008 inflation rate. The rise in senior high school tuition fees followed an increase in elementary and junior high school tuition fees a month earlier," he said.

The BPS chief said the prices of a number of commodities including gold, onion, chili, Pertamax gasoline and cooking oil fell in August.

Ichsanuddin said the inflation remained a "disease" because of uncertainty in the global economy.

"The uncertainty is expected to continue until the first semester of 2009 and the prices of commodities will remain volatile," he said.

The other indication was the persistent steep rise in the prices of materials for infrastructure projects at home, he said.

"Meanwhile at the same time the prices of food commodities have shown no sign of stability," he added.

The newly-announced rise in the prices of liquefied petroleum gas would drive up the prices of other goods, putting a further strain on the inflation rate, he said. "The multiplier effect of the rise in the prices of LPG will continue," he said.

Indonesian bank governor vows to reduce inflation

By Gde Anugrah Arka and Adriana Nina Kusuma

The governor of the Indonesian central bank said he would "do whatever it takes" to bring annual inflation below 10 percent in 2009, from 11.9 percent in July, as elections next year are expected to ensure strong economic growth.

Indonesia, the biggest Southeast Asian economy, which expanded 6.3 percent in 2007, the fastest pace in 11 years, will be sustained by strong domestic demand thanks to parliamentary and presidential elections next year, the bank governor, Boediono, who goes by one name, said.

"During election years, demand will always be strong. So there is no problem. There is no need to urge us, the monetary authorities, to offer additional stimulus" to improve the economy, said Boediono, speaking at his home near Yogyakarta, central Java.

"My focus therefore is to stabilize prices so that we can bring down inflation from 11.9 percent to a single-digit number."

Indonesia holds parliamentary elections in April, and presidential elections a few months later.

Typically, political parties spend money on gifts such as T-shirts and food to woo voters in a country of 226 million people, delivering a significant push to the economy.

"If we remember the 2004" elections, "demand was very strong then, spending was very significant. Money in circulation rose sharply in 2004," Boediono said. "If there is an impediment to growth, it is on the supply side, whether electricity, traffic jams," he said.

The Indonesian statistics bureau is due to release August inflation data later Monday.

Analysts polled by Reuters expect annual inflation of 11.9 percent, and predict Bank Indonesia will raise its key interest rate again, by 25 basis points, at its monetary policy meeting later this week, which would be the fifth hike this year.

Bank Indonesia has raised interest rates by a total of 1 percentage point to 9 percent to contain inflation.

Boediono declined to comment on the outlook for interest rates, but said the central bank would use all monetary tools available to curb inflationary pressures, which mainly stem from higher fuel and food prices.

While the United States and Europe face the prospect of slowing economic growth or even recession, and a crisis in the financial system, Indonesia can afford to tackle inflation using monetary tightening without having to worry about the effect on economic growth or weakness in the domestic financial system, Boediono said.

"We are fortunate as our financial system is okay so that it is easier to make decisions compared to other countries," he said.

"In my view, we only have to face one problem. The issue here is really about inflation."

Even though real interest rates, the difference between inflation and nominal interest rates, are negative, Boediono said that was not a problem for Indonesia and was common in other countries in the region.

He also said the central bank does not target a specific level for the rupiah, even though market players say they believe Bank Indonesia has intervened in the market to keep the currency at around 9,100 per dollar in order to curb imported inflation.

On Aug. 5, the central bank forecast annual consumer inflation at between 11.5 percent and 12.5 percent at the end of 2008, easing to between 6.5 percent and 7.5 percent next year. Annual inflation spiked after the government hiked subsidized fuel prices by an average of nearly 30 percent in May.

Indonesia has been largely isolated from the effect of the financial market turmoil in the United States, as its commercial banks have relatively small exposure to the U.S. debt market.

Many of the local banks are relatively well-capitalized following a costly bailout in the wake of the 1997-98 Asian financial crisis.