BI Survey: Selling Price Pressures Increase in the First Quarter

Results from Bank Indonesia’s (BI) business activity survey indicate that selling price pressures increased in the first quarter of 2026. The weighted net balance (WNB) for selling prices in the first quarter of 2026 was recorded at 15.82%, higher than the previous quarter’s WNB of 12.37%.

The selling price position in the first quarter of 2026 is the highest since the second quarter of 2024. “According to respondents, this increase was mainly caused by rises in raw material costs and other operational expenses,” BI stated in its report on Friday, 17 April 2026.

The increase in selling prices mainly originated from the wholesale and retail trade, and motor vehicle repair sector, with a WNB of 4.65%. This was followed by the agriculture, forestry, and fishing sector with a WNB of 4.07%, and the manufacturing sector with a WNB of 2.94%.

However, selling price pressures in the second quarter of 2026 are expected to decline to 12.81%. This slowdown in selling prices will primarily occur in the agriculture, forestry, and fishing sector with a WNB of 3.56%, as well as the wholesale and retail trade, and motor vehicle repair sector with a WNB of 3.16%. This slowdown aligns with decreases in operational costs and promotional expenses.

Based on the same survey results, respondents estimate the average national inflation rate for 2026 at 2.82% on an annual basis. This forecast falls within the target range of 2.5% plus or minus 1%.

By business sector, the highest inflation rate estimates were indicated by respondents in the real estate sector at 3.18% year-on-year. This was followed by the information and communication sector, as well as the wholesale and retail trade, and motor vehicle repair sector at 3.01% year-on-year.