BI forecasts March inflation to reach 0.07 percent

Jakarta (ANTARA News) – Bank Indonesia (BI) has forecast the countrys inflation in March 2019 to reach 0.07 percent month-to-month due to a rise in the prices of several commodities, including onion and garlic, as well as air tickets.

The inflation forecast is based on the results of a price survey conducted until the first week of March, BI Governor Perry Warjiyo stated here on Friday.

If the inflation forecast comes true, the annual inflation in March will stand at only 2.44 percent year-on-year (yoy), or will stay in the range of the central banks inflation target of 2.5-4.5 percent yoy.

In general, food prices in March remain stable and the prices of commodities, including of purebred chicken meat, red chilies, chicken eggs, and various vegetables, tend to decline, he noted.

“Only the prices of onion, garlic, and air tickets increase slightly,” he remarked.

The expectation of controllable inflation in March confirms that the prices of commodities are still safe. The annual inflation forecast of 2.44 percent suggests that the prices in March are more stable than in the previous month.

“Insyaallah (God willing), this years inflation will be below 3.5 percent (yoy),” he stated.

The Central Statistics Agency (BPS) had announced earlier that the country witnessed a deflation of 0.08 percent month-to-month, bringing the annual inflation to 2.57 percent in February.

Source: Antara News