Inflation Rate in Indonesia Rises in March 2025 Amidst Ramadan

The Central Statistics Agency (BPS) reported a 1.03% year-on-year (yoy) inflation rate in March 2025, coinciding with the month of Ramadan 1446 Hijri.

The rate increased compared to February 2025, when Indonesia experienced negative inflation or annual deflation.

However, the inflation rate during Ramadan this year remains relatively low compared to previous years, as shown in the graph.

Commodities contributing to annual inflation or price increases in March 2025 include cayenne pepper, shallots, garlic, coconut, fresh fish, instant coffee, cooking oil, hand-rolled kretek cigarettes (SKT), machine-rolled kretek cigarettes (SKM), and machine-rolled white cigarettes (SPM).

The annual inflation in March 2025 was also influenced by increased tariffs for piped water, house rent, household fuel, domestic helper wages, cars, motorcycles, school fees, rice with side dishes, and gold jewelry.

Commodities contributing to deflation or annual price decreases in March 2025 include rice, red chilies, tomatoes, broiler chicken meat, chicken eggs, spring onions, jengkol (a type of bean), infant formula, oranges, papaya, green beans, electricity tariffs, liquid/dish soap, airfare, gasoline, and mobile phones.

Here's a breakdown of Indonesia's annual inflation rate by expenditure group in March 2025, ordered from highest to lowest:

* Personal care and other services: 8.71% (yoy)
* Food and beverage service/restaurants: 2.26% (yoy)
* Food, beverages, and tobacco: 2.07% (yoy)
* Education: 1.89% (yoy)
* Health: 1.80% (yoy)
* Clothing and footwear: 1.41% (yoy)
* Recreation, sports, and culture: 1.17% (yoy)
* Household equipment, appliances, and routine maintenance: 0.95% (yoy)
* Transportation: 0.83% (yoy)
* Information, communication, and financial services: -0.24% (yoy)
* Housing, water, electricity, and household fuel: -4.68% (yoy)

In March 2025, 36 provinces experienced annual inflation, while 2 other provinces experienced annual deflation.

The highest inflation occurred in Papua Pegunungan at 8.05% (yoy), while the deepest deflation was in West Papua at -0.23% (yoy).