The Central Statistics Agency (BPS) has revealed the main causes of\ninflation in May 2026. Unlike periods of major religious holidays which\nare usually driven by surges in food prices, this time inflation was\nlargely contributed by increases in the core group and\ngovernment-administered prices, including non-subsidised petrol and air\ntransport fares.<\/p>\n
Head of BPS Amalia Adininggar Widyasanti stated that inflation in May\n2026 remained relatively under control, despite coinciding with the\nIduladha momentum.<\/p>\n
\u201cFor May 2026, year-on-year (yoy) we experienced inflation of 3.08%\nand month-to-month (mtm) inflation was 0.28%. Compared to Idulfitri,\ninflation in May 2026 is relatively low,\u201d Amalia said during the\nRegional Inflation Control Coordination Meeting at the Ministry of Home\nAffairs (Kemendagri) on Monday (15\/6\/2026).<\/p>\n
According to her, historically, inflation during the Iduladha\nmomentum tends to be lower than during the Idulfitri period. This\npattern recurred this year.<\/p>\n
\u201cBecause if we look historically, inflation during the Iduladha\nmoment is usually always lower compared to inflation during the\nIdulfitri holiday. So the same thing happened this year, where inflation\nin May, when Iduladha fell, was relatively lower compared to the\nIdulfitri moment,\u201d she explained.<\/p>\n
Nevertheless, BPS recorded that several components still exerted\npressure on monthly inflation. Amalia said the food and beverage group\nstill contributed to inflation due to increased public consumption ahead\nof Iduladha.<\/p>\n
\u201cSome things to note are the causes of month-to-month inflation in\nMay 2026, especially for the food and beverage group, because several\nfoods contributed to the Iduladha celebrations during 2026,\u201d she\nclarified.<\/p>\n
However, when examined based on the components forming inflation, the\nlargest contribution actually came from core inflation and the group of\ngovernment-administered prices.<\/p>\n
\u201cFor May 2026, if we look at inflation by components, there is the\ncore component, the government-administered price component, and the\nvolatile price component. And if we observe from this graph, the\ncomponents that contributed significantly to inflation in May 2026 are\nthe core inflation group and government-administered prices,\u201d Amalia\nsaid.<\/p>\n
\u201cThis means the contribution of inflation from the volatile food\ncomponent was not as high as from the core component and the\ngovernment-administered component,\u201d she continued.<\/p>\n
Based on her presentation, the core component in May 2026 experienced\ninflation of 0.22% with a 0.14% contribution to monthly inflation.\nMeanwhile, the government-administered price component recorded\ninflation of 0.52% with a 0.10% contribution. The volatile food\ncomponent also experienced inflation of 0.22%, but its contribution was\nonly 0.04%.<\/p>\n
Amalia explained that core inflation was mainly triggered by price\nincreases in several non-food goods and services, including cooking oil,\nmobile phones, laptops, and vehicle lubricants.<\/p>\n
\u201cAmong the contributors for the core inflation component and the\ngovernment-administered price component, for the core inflation\ncomponent, the causes include the price of cooking oil, mobile phones,\nlaptops, and lubricants, because fuel prices rose, causing engine oil\nlubricant prices to also increase,\u201d Amalia explained.<\/p>\n
Meanwhile, the group of government-administered prices faced pressure\nfrom rising energy and transportation costs.<\/p>\n
\u201cAdditionally, for the government-administered price component,\ninflation was contributed by the rise in household fuel, petrol,\nespecially non-subsidised, and air transport fares,\u201d she said.<\/p>\n
Amalia presented that the government-administered price component\nshowed a strengthening inflation trend in recent months. The increase\nwas in line with rising prices of household fuel, non-subsidised petrol,\nand flight fares, which became one of the drivers of inflation in May\n2026.<\/p>\n
On the other hand, the contribution of the volatile food group was\nrecorded as not being as large as the other two components. Although\nseveral food commodities such as red chillies, shallots, tomatoes, rice,\nand green mustard greens still contributed to inflation, their impact\nwas relatively more limited.<\/p>\n
\u201cFor food commodities during May 2026, we know that their\ncontribution to May inflation was not as high as the core component and\nthe government-administered price component,\u201d Amalia concluded.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/fuel-and-airfare-hikes-drive-indonesias-inflation-phenomenon-heres-the-data-1781502859", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }