Indonesia's Inflation Strengthened in September 2025, Highest in a Year

According to a report by the Central Statistics Agency (BPS), Indonesia experienced an annual inflation rate of 2.65% (year-on-year/yoy) in September 2025.

This inflation rate is the highest in the last year. Indonesia last experienced inflation above 2.5% (yoy) in June last year, as shown in the chart.

Below is a list of expenditure groups that experienced inflation or price increases annually in September 2025, sorted from highest inflation:

• Personal care and other services: 9.59% (yoy)

• Food, beverages, and tobacco: 5.01% (yoy)

• Health: 2.01% (yoy)

• Provision of food and beverages/restaurants: 1.80% (yoy)

• Housing, water, electricity, and household fuel: 1.64% (yoy)

• Education: 1.15% (yoy)

• Recreation, sports, and culture: 1.07% (yoy)

• Clothing and footwear: 0.79% (yoy)

• Furnishings, household equipment, and routine household maintenance: 0.30% (yoy)

Meanwhile, two expenditure groups experienced annual deflation or price decreases in September 2025: the information, communication, and financial services group, which fell by 0.31% (yoy), and transportation, which fell by 0.15% (yoy).

Commodities contributing to inflation or annual price increases in September 2025 include rice, shallots, chicken eggs, red chilies, tomatoes, broiler chicken meat, fresh fish, coconut, ground coffee, cooking oil, machine-rolled clove cigarettes (SKM), hand-rolled clove cigarettes (SKT), and machine-rolled white cigarettes (SPM).

Annual inflation also occurred in tap water tariffs, household fuel, house rent, cars, university tuition fees, rice with side dishes, and gold jewelry.

Conversely, commodities contributing to annual deflation or price decreases in September 2025 were garlic, bird's eye chilies, potatoes, and pork.

Annual deflation also occurred in the prices of powdered detergent soap, liquid soap/dish soap, liquid detergent, laundry fragrance/softener, gasoline, air transport fares, train fares, mobile phones, and high school tuition fees.

In September 2025, 37 provinces experienced annual inflation, and 1 province experienced annual deflation.

The highest inflation occurred in North Sumatra at 5.32% (yoy), while deflation occurred in North Maluku at 0.17% (yoy).