Inflation in Indonesia:

Month  Monthly Growth
          2013
 Monthly Growth
          2014
January          1.03%          1.07%
February          0.75%          0.26%
March          0.63%          0.08%
April         -0.10%         -0.02%
May         -0.03%          0.16%
June          1.03%          0.43%
July          3.29%  
August          1.12%  
September         -0.35%  
October          0.09%  
November          0.12%  
December          0.55%  
Total          8.38%          1.99%

 

     Inflation Rate
      June 2014
  Inflation Rate
  Calender 2014
  Inflation Rate
  year-on-year
General            0.43           1.99          6.70
- Core            0.25           1.88          4.81
- Administered Price            0.45           2.37         13.47
- Volatile            1.06           2.22          6.74

 

    2008   2009   2010   2011   2012   2013
Inflation
(annual percent change)
   9.8    4.8    5.1    5.4    4.3    8.4

Source: Statistics Indonesia

Furthermore, the maintained interest rate environment is expected to have a positive impact on the country’s current account balance. Since 2011, Southeast Asia’s largest economy has had to cope with a serious current account deficit (which is a sign of weakness in the eyes of investors). The latest released trade data show a USD $69.9 million trade surplus in May 2014, after a disappointing USD $1.96 billion deficit in the previous month.


Indonesia Balance of Trade (in million US dollar):

Bank Indonesia Keeps Key Interest Rate (BI Rate) at 7.50% in July 2014

Later today, an in-depth article about Bank Indonesia’s stance on economic developments in Indonesia will be published.

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