What Triggered the Deflation in March 2017?

Economics & Macro

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04/04/2017 15:11 WIB

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Inflation/Deflation Rate by Expenditure Group

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Inflation/Deflation Rate by Expenditure Group

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The Central Statistics Agency (BPS) recorded a 0.02 percent deflation in the third month of 2017. This deflation was dominated by the food commodities group (0.66 percent) and the transportation, communication, and financial services group (0.13 percent). Other expenditure groups experienced inflation, although the rate was not significant. The decrease in food prices was the main driver of the March 2017 deflation.

The March 2017 deflation stemmed primarily from red chilies, rice, chili peppers, fresh fish, chicken eggs, and garlic. The price drops in chilies and rice coincided with abundant supply due to the harvest season. However, further deflation was contained by rising prices of shallots and cooking oil.

"Disclosure: This is an AI-generated translation of the original article. We strive for accuracy, but please note that automated translations may contain errors or slight inconsistencies."

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What Triggered the Deflation in March 2017?

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