The government had devised four strategies to control inflation, namely pursuing affordable prices, sufficient stocks, well-running distribution processes, as well as effective communication.
Jakarta (ANTARA) - Indonesia has been learning from its experiences in dealing with the inflation rate in the midst of global uncertainties, such as during rising tensions between Russia and Ukraine, Coordinating Economic Affairs Minister Airlangga Hartarto affirmed.

"We have gained experiences from how we dealt with inflation during the Ukrainian conflict, as evidenced by our success in controlling our inflation rate," he remarked at a press conference in Jakarta on Thursday (April 18).

Hartarto made the statement amid concerns over conflicts in the Middle East, including the one involving Iran and Israel, affecting Indonesia's inflation rate.

The minister noted that the raging conflict between Russia and Ukraine had increased Indonesia's inflation rate to 5.95 percent. However, the government has managed to tame the rate, pegging it at around 2.5 percent.

Hartarto stated that the national inflation rate has been mostly affected by food commodities while attributing their spiking prices to the global heat phenomenon El Nino from July 2023 until March this year.

"Hence, our inflation rate does not depend on conflicts in the Middle East. The rate has been mostly affected by domestic factors and the El Nino," he underscored.

The minister further remarked that the prices of several food commodities, such as rice, cooking oil, and chilies, had started to return to the normal level and had even declined.

Hartarto affirmed that the government has been intensively coordinating with central and regional inflation controlling teams to ensure that the inflation rate remains at around 2.5 percent.

The central and regional governments have also been stepping up coordination with Bank Indonesia to protect the national inflation rate from the impacts of global uncertainties, he added.

According to the minister, Indonesia has been making use of monetary policies, pro-stability and pro-growth policies, and fiscal policies to control its inflation rate.

He also noted that the government had devised four strategies to control inflation, namely pursuing affordable prices, sufficient stocks, well-running distribution processes, as well as effective communication.

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Translator: Rizka K, Tegar Nurfitra
Editor: Arie Novarina
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