Govt reports deflation

Govt reports deflation

JAKARTA (JP): The government reported yesterday 0.12 percent
month-on-month deflation for March, mainly caused by a drop in
the price of food and services.

The Ministry of Finance stated yesterday the prices of food
and services had dropped 0.35 percent and 0.40 percent while the
prices of housing and clothing had risen 0.22 percent and 0.16
percent respectively.

The ministry said the price of transportation had fallen the
most among services.

Inflation in the 12 months up to March 31 was 5.17 percent,
down from 8.86 percent in the previous 12 months, the ministry
said.

"It (5.17 percent inflation) is the lowest inflation since the
1985/1986 fiscal year," the ministry's statement said.

It said inflation in the first quarter of this year was 1.96
percent, lower than the 3.26 percent recorded in the same period
last year. (bnt)