Monday, 16 September 2019 | 15:52 WIB

Inflation Rises in Jakarta on May 2019

Inflation Rises in Jakarta on May 2019 (kemendagri)

JAKARTA, NETRALNEWS.COM - Inflation in Jakarta in May 2019 was recorded at 0.59 percent, an increase compared to the previous month of 0.40 percent, which occurred in almost all expenditure groups, especially in foodstuffs.

With these developments, calendar inflation until May 2019 was recorded at 1.64 percent, or on an annual basis at 3.50 percent, up from last month's 3.37 percent, said Bank Indonesia (BI) Jakarta Representative Head Hamid Ponco Wibowo in Jakarta, on Monday.

He explained, the increase in inflationary pressure in May 2019 came from food expenditure groups.

This group recorded inflation of 2.03 percent, higher than April 2019 of 0.98 percent. The high inflation in this group was contributed by the price increase in the meat sub-group and its products, especially race chicken meat which was recorded at 5.98 percent.

The subgroup of eggs, milk and their results also recorded high inflation, mainly contributed by the commodity of race chicken eggs with inflation of 3.50 percent.

While in the spices sub-group, inflationary pressure occurred in red chili and garlic which were 17.16 percent and 14.75 percent respectively.

"Quite high inflation in some commodities is driven by increasing public demand throughout the fasting and preparation of Eid al-Fitr," he said.

He said, processed food groups in May 2019 also put higher pressure on inflation in Jakarta. This group recorded inflation of 0.76 percent, an increase compared to inflation in the previous month of 0.34 percent.

Oily pastries inflation in May 2019 which recorded 4.04 percent was one of the causes of inflation in this group. In addition, the price increase in rice with side dishes also contributed to inflation in this group.

"Rising prices from food groups are the result of rising prices for a number of commodities which are the basic ingredients for making processed foods," he said.

Higher inflation in May 2019, said Hamid, was also contributed by the transport expenditure group.

This expenditure group recorded inflation of 0.32 percent, higher than the previous month which was recorded at 0.16 percent.

The increase in inflation in this group was driven mainly by intercity transport inflation which reached 7.50 percent, in line with the increase in the price of transportation ahead of the Eid Al-Fitr season.

According to him, almost all autobus companies increased their inter-provincial inter-city bus (AKAP) rates starting from 10-D. This increase occurred in both the economic class and the executive class, which led to inflation in the overall transport group.

On the other hand, the government's policy of lowering the tariffs for airplane tickets had an impact on air transport tariff deflation of 1.31 percent.