Tuesday, 16 July 2019 | 05:09 WIB

BI Predicts Inflation of 0.53 Percent on June

BI Predicts Inflation of 0.53 Percent on June (bankindonesia)

JAKARTA, NETRALNEWS.COM - Bank Indonesia Governor Perry Warjiyo said that based on the results of a survey conducted by his office, the June inflation rate (MoM) is believed to be lower than the previous month.

"In June 2019, we monitored until the third week of June 2019 that inflation fell to 0.53 percent (MoM) or year on year/yearly 3.26 percent," Perry said at BI Thamrin Building, Jakarta, Friday (6/21) / 2019).

Perry said staple food are still the main factor driving monthly inflation. He revealed that the price of red chili and chicken meat is a major contributor to June inflation, as well as transportation fares which are said to still be very influential on June inflation.

"The price of garlic has dropped after rising the other day," Perry explained.

As it is known, inflation in May 2019 reached 0.68 percent. Inflation throughout Ramadan this time is in line with the average inflation in the last three years, which is 0.68 percent.

Even so, inflation in May 2019 was higher than expectations of Bank Indonesia which predicted the May 2019 inflation rate of 0.51 percent. This inflation was triggered by volatile food price movements of 1.45 percent and air transport transportation prices due to seasonal, Ramadan and Eid al-Fitr patterns.