Consumer price index up 0.27 percent in August

Consumer price index up 0.27 percent in August

JAKARTA (JP): Indonesia's consumer price index (CPI) increased
0.27 percent in August, compared with 0.68 percent in July,
Minister of Information Harmoko announced yesterday.

Speaking after a limited cabinet meeting on the economy,
Harmoko said that food prices fell by an average of 0.35 percent
but that housing prices in the same month rose 0.27 percent,
clothing prices 0.16 percent and other goods and services were up
1.16 percent.

August's CPI brought the cumulative inflation rate for the
January to August period to 4.98 percent, down from 6.41 percent
during the same period of last year.

Harmoko quoted President Soeharto as saying during the meeting
that the low inflation was due to an abundant supply of primary
goods.

"The President has also instructed the ministers concerned to
prepare the necessities of the general public ahead of the
Christmas holiday in December, and the New Year and Idul Fitri
holidays in January and February next year," he said.

Harmoko said that money supply as of July this year reached Rp
57.7 trillion (US$24.99 billion).

On international trade, Harmoko said that the country's
exports rose slightly to $4.14 billion in June from $4.07 billion
in May, while imports increased to $3.95 billion from $3.8
billion.

As a result, Indonesia's trade surplus in June dropped to
$193.4 million in June from $203.1 million in May.

During the period of January to June this year, total exports
reached $23.49 billion, while total imports amounted to $21.20
billion, for a six-month trade surplus of $2.29 billion.

He said that of the top ten export products, textiles remained
on top during the January-May period and recorded an increase of
8.24 percent from $2.27 billion during the same period of last
year.

He said that Indonesia saw tourist numbers increase 20.7
percent to 2.37 million during the January-July period of this
year.

In July alone, the country's foreign exchange revenues from
the tourism sector reached $462.83 million.

During the January-July period, the country's revenues from
foreign tourists reached $2.83 billion, up 22.2 percent from the
same period last year.

In the area of cement products, he said the supply during the
July to September period would be enough to meet local demand.
Cement stocks at the end of this month are expected to reach
306.317 tons.

He acknowledged that cement prices are increasing in Central
and East Java. "The price increases are being caused by a sudden
surge in local demand over the last few days, which has caused
supply shortages at market places. But efforts are being made to
tackle the problem," he said. (13)