Inflation 0.08% in November: BPS<\/p>\n
JAKARTA (JP): Indonesia's monthly inflation rate rose to 0.08
\npercent in November from deflation of 0.27 percent in October,
\nsending the year-on-year inflation rate to 78.15 percent, the
\nCentral Bureau of Statistics (BPS) announced on Monday.<\/p>\n
BPS deputy chairman Kusmadi Saleh attributed the slight
\ninflation to rising prices of processed food, beverages,
\ncigarettes and tobacco by 0.69 percent.<\/p>\n
He said that a 1.02 percent increase in the health index and
\n0.48 percent rise in the housing index contributed to the
\ninflation.<\/p>\n
He, however, added that a 0.18 percent decline in prices of
\nraw foodstuffs helped to limit inflation despite rising political
\ntension during the month.<\/p>\n
The government expects the inflation level for the whole of
\n1998 to be 80 percent.<\/p>\n
\"Prices of several commodities in the food category continued
\nto decline,\" Kusmadi told reporters at a media conference.<\/p>\n
He said the average price of rice declined 0.23 percent, gold
\nand jewelry 0.21 percent, and cooking oil, sugar, fresh fish and
\nchicken meat 0.12 percent.<\/p>\n
\"Despite the social and political unrest during the second
\nhalf of November, the average price of rice in the month was
\nrelatively lower than the average in October,\" Kusmadi added.<\/p>\n
He said inflation for January to November was 75.14 percent,
\nwhile for the first eight months of the fiscal year from April to
\nNovember was 37.78 percent.<\/p>\n
Asked whether the government target of 80 percent inflation
\nthroughout the year could be achieved, he said: \"It all depends
\non what happens in December. Bad things beyond our control can
\nalways occur.\"<\/p>\n
He pointed to food production and distribution which could be
\ndisrupted by continuing political and social unrest.<\/p>\n
Another worrying factor was the ability of the government to
\nprovide the necessary imports for the production of agriculture
\nproducts, he added.<\/p>\n
He explained that based on the empirical data collated over
\nthe past 10 years, inflation in December was always higher than
\nin November .<\/p>\n
\"I'm certain that inflation in December will be higher, even
\nthough the political and social situation is improving,\" he said,
\nciting the higher demand for goods due to the Christmas and New
\nYear celebrations and the Moslem fasting month.<\/p>\n
Inflation in December 1997 was 2.04 percent compared to 1.65
\npercent in November.<\/p>\n
Kusmadi also said that the government target of 10 percent
\ninflation 1999 would be achievable as long as political and
\nsocial stability could be maintained.<\/p>\n
He was less optimistic, however, about the government's
\npositive Gross Domestic Product growth projection for next year.<\/p>\n
\"I think it's too optimistic. The most likely figure will be a
\ncontraction of 2 percent,\" he said.<\/p>\n
He said that his forecast on 1998 GDP was a contraction of
\n13.54 percent, compared to the government estimate of 15 percent
\nnegative growth.<\/p>\n
BPS also announced a trade surplus of US$1.78 billion in
\nSeptember, resulting from exports of $3.99 billion against
\nimports of $2.22 billion.<\/p>\n
Oil and gas exports were $642.8 million, while non-oil and gas
\nexports were $3.36 billion.<\/p>\n
Total exports during the January-September 1998 period were
\n$37.24 billion, a 5.73 percent decline from the same period in
\n1997 due to a 31.44 percent drop in the value of oil and gas
\nexports. Non-oil and gas exports, however, rose slightly by 1.51
\npercent, Kusmadi said.<\/p>\n
\"The drop in the oil and gas exports is beyond our control,\"
\nsaid BPS senior official Rusman Heriawan, citing the slump in the
\noil price from $18 per barrel to $12 per barrel due to
\noversupply.<\/p>\n
\"The oil export volume dropped only 5.79 percent, but the
\nvalue plunged by 31.4 percent,\" he added.<\/p>\n
BPS reported that imports during January-September 1998 were
\n$20.15 billion, a 36.60 percent decline from the level in the
\nsame period last year.<\/p>\n
Kusmadi said the decline resulted from a 29.31 percent fall in
\noil and gas imports and a 37.35 percent drop in non-oil and gas
\nimports. (rei)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/inflation-008-in-november-bps-1447893297",
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