This is the second deflation in 2021 after (the nation) saw a deflation of 0.16 percent in June
Jakarta (ANTARA) - Statistics Indonesia (BPS) reported a monthly deflation of 0.04 percent in September 2021 and attributed it to the fall in prices of several key commodities.

"This is the second deflation in 2021 after (the nation) saw a deflation of 0.16 percent in June," BPS chief Margo Yuwono noted in Jakarta on Friday.

This has brought the calendar year (January-September 2021) inflation to 0.80 percent and year-to-year inflation to 1.60 percent, he informed.

Bank Indonesia (BI) had earlier forecast a deflation of 0.01 percent month on month in September 2021, fueled by the development of chicken egg, onion, and garlic prices.

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The forecast was based on the results of a price monitoring survey conducted until the fourth week of September.

"The price development in September 2021 remains under control and (the country) is predicted (to see) a deflation of 0.01 percent (month on month),” executive director/chief of BI's communication department, Erwin Haryono, said in a written statement released on September 24, 2021.

Given the price development, BI forecast the year-to-date inflation to reach 0.83 percent and year-on-year inflation to touch 1.63 percent in September 2021.

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According to the survey, September 2021’s deflation was fueled by a 0.08-percent drop in purebred chicken egg price, a 0.03-percent decline in onion and bird eye chili prices, a 0.02-percent drop in red chili price, and a 0.01-percent fall in garlic price until the fourth week of September 2021.

However, the prices of purebred chicken meat and cooking oil rose 0.03 percent (month on month) each and the prices of mustard greens and filter clove-blended cigarettes increased by 0.01 percent (month on month) each, thereby adding to inflation, BPS said.

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Translator: Satyagraha, Suharto
Editor: Fardah Assegaf
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