Indonesian Political, Business & Finance News

Home Affairs Minister Praises 3.08% Inflation, Urges Monitoring of Cooking Oil Prices

| Source: DETIK Translated from Indonesian | Economy
Home Affairs Minister Praises 3.08% Inflation, Urges Monitoring of Cooking Oil Prices
Image: DETIK

Minister of Home Affairs Muhammad Tito Karnavian has expressed appreciation for the national year-on-year (YOY) inflation rate of 3.08 percent recorded in May 2026. He stated that the figure remains relatively under control as it falls within the government’s target range of 1.5 to 3.5 percent.

According to data from the Central Statistics Agency (BPS) released on 2 June 2026, several components contributed to the inflation increase. These components include food, beverages, and tobacco; transportation; and information, communication, and financial services.

‘Specifically for the food, beverages, and tobacco component, the detailed contributors to the inflation increase are still chillies. Chillies are the highest at 0.08, followed by cooking oil,’ Tito said during a coordination meeting on Monday (15/6/2026).

He made the remarks while leading the Regional Inflation Control Coordination Meeting, which was combined with support for local governments in the 2026 FIFA World Cup watch party and the signing of a joint circular and handover of a warning cover for the synergy of the 2026 Economic Census at the Sasana Bhakti Praja Building, Ministry of Home Affairs, Jakarta.

Despite some commodities contributing to the inflation rise, Tito expressed relief that the increase did not occur in major commodities. Based on trends from previous periods, he noted that rice and several other staples usually serve as the primary drivers of inflation.

On the same occasion, Tito also highlighted price increases for several commodities in the regions, including shallots, red chillies, bird’s eye chillies, and cooking oil. Among these, he urged relevant parties to pay special attention to the price development of cooking oil, as it is a basic necessity for the public.

‘What perhaps needs to be watched is cooking oil, because cooking oil is a primary need. There were 165 districts/cities that experienced increases, and 73 that experienced decreases,’ he revealed.

During the event, Tito also commended the Ministry of Agriculture and the State Logistics Agency (Perum Bulog) for their success in maintaining the rice supply. With the supply secured, rice prices have remained relatively stable.

‘Rice is relatively maintained at a low level. We see that usually rice is in the top three. But this time it is in sixth place,’ he concluded.

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