Economist at UOB Group Enrico Tanuwidjaja reviews the latest inflation figures in Indonesia.
Key Takeaways
“Indonesia’s headline inflation rate eased slightly lower to 5.3% y/y in Jan from 5.5% in Dec last year but it continued to gain on month basis by 0.3%.”
“The food, beverage, and key essential household items and transportation prices continue to underpin the overall elevated level of inflation.”
“We keep our 2023 average inflation forecast to trend down slightly lower to 4% from an average of 4.2% last year. Inflation is likely to edge lower to BI’s target range of 2-4% in 2H23.”
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