Indonesian Political, Business & Finance News

BPS: Pertamax Price and Airfares Drive June Inflation to 0.44 Percent

| Source: VIVA Translated from Indonesian | Economy
BPS: Pertamax Price and Airfares Drive June Inflation to 0.44 Percent
Image: VIVA

The Central Statistics Agency (BPS) reported that monthly inflation reached 0.44 percent month-to-month (mtm) in June 2026. Deputi for Distribution and Services Statistics Ateng Hartono stated that calendar year inflation was recorded at 1.79 percent year-to-date (ytd), with annual inflation reaching 3.34 percent year-on-year (yoy). The consumer price index rose from 111.40 in May 2026 to 111.89 in June 2026. The largest contributor to monthly inflation was the transport expenditure group, which experienced inflation of 2.29 percent and contributed 0.28 percent to overall inflation. Within this group, the increase in non-subsidised fuel prices, particularly Pertamax, along with airfares and engine lubricant prices, were the main drivers. The rise in airfares was attributed to a surge in public demand during the June school holiday period. Specifically, petrol contributed 0.21 percent to inflation, airfares contributed 0.05 percent, and engine lubricants contributed 0.01 percent. Additionally, the food, beverage, and tobacco group experienced 0.20 percent inflation, contributing 0.06 percent to the general inflation rate in June 2026. Key commodities in this group included shallots, garlic, and rice, which contributed 0.04 percent, 0.03 percent, and 0.02 percent respectively.

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