"The inflation also indicates that prices in June were under control. Beginning in 2010, the rate of inflation had always been above 0.4 percent. This is a good and positive trend," Chairul Tanjung said.
Jakarta (ANTARA News) - Chief economic minister Chairul Tanjung said inflation was relatively low in June because the government had been able to control the price of basic necessities.

"The inflation also indicates that prices in June were under control. Beginning in 2010, the rate of inflation had always been above 0.4 percent. This is a good and positive trend," he said here on Tuesday.

The rate of inflation in June was recorded at 0.43 percent, the Central Bureau of Statistics (BPS) announced.

Chairul Tanjung said the government will continue to take efforts to stabilize food prices so that inflation will not become high and could be controlled below one percent in July.

"Ahead of post-Islamic fasting month holiday of Idul Fitri, inflation had always increased very high, and this year the holiday will be followed by new academic year that will also push inflation up. They are not easy to control. I hope it could be controlled below one percent," he said.

BPS deputy for statistics distribution and service Sasmito Hadi Wibowo said the government had to start taking anticipatory measures against possible high inflation in July and in August in view of the post-fasting holiday of Idul Fitri, new academic year, and electricity price hike.

"In July there will be fasting, Lebaran (Idul Fitri), school year-end holiday, and electricity price hike, which could affect Augusts inflation, although the peak of harvest will come in August and Lebaran will have been over in the month so that prices will be under control again," he said.

The BPS announced the rate of inflation in June was recorded at 0.43 percent or lower than the average inflation rates in June in the last five years, including last year when the Junes inflation was recorded at only 1.03 percent.

Among the commodities that contributed to the Junes inflation was chicken by 0.06 percent; shallot 0.05 percent; eggs 0.04 percent; electricity price and air fare by 0.03 percent each; tomato, onion, and house rent by 0.02 percent each.

With the Junes inflation recorded at 0.43 percent, the rate of inflation in the calendar year 2014 has reached 1.99 percent month-on-month or 6.7 percent year-on-year.

The government had estimated the inflation in the 2014 revised budget at 5.3 percent.(*)

Editor: Heru Purwanto
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