Jakarta (ANTARA News) - The 1.06 percent inflation in the first semester of 2011 did not yet cause concern, but it is expected that an inflation turmoil would break out in the second semester, an financial official said.

"The January - June inflation did not cause concern as it is still recorded at 1.06 percent but we should not forget that an inflation turmoil could break out in the second semester," Bambang Permadi Soemantri, head of the finance ministry`s Fiscal Policy Agency (BKF), said here on Tuesday.

He said that in the second semester high inflation was likely to occur due to the seasonal factor of post-fasting month of Lebaran festivities and prices of food and commodities which were likely difficult to go down.

The Central Bureau of Statistics (BPS) has earlier announced that the calendar inflation rate in the January - June 2001 period was recorded at 1.06 percent, and that of year or year (June 2011 against June 2010) was recorded at 5.54 percent.

While in June inflation was recorded at 0.55 percent with the rate of consumer index of 126.50.

Inflation was driven by the increase in the food index of 1.27 percent, processed food, drink, cigarette and tobacco of 0.41 percent, housing, water, electricity, gas ad fuel of 0.30 percent.

Inflation also took place in the group of clothing at a rate of 075 percent, health 0.41 percent, education, recreation and sports 0.1 percent and transportation, communication and financial services 0.15 percent.
(Uu.A014/H-NG/F001)

Editor: Priyambodo RH
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