Indonesia's Inflation Accelerated Early Q4 2025

According to a report by the Central Statistics Agency (BPS), Indonesia experienced an annual inflation rate of 2.86% (year-on-year/yoy) at the beginning of Q4, or October 2025.

This inflation rate strengthened compared to previous months and was the highest since Q2 2024.

Below is a list of expenditure groups that experienced annual inflation or price increases in October 2025, ordered from highest inflation: 

• Personal care and other services: 11.87% (yoy)
• Food, beverages, and tobacco: 4.99% (yoy)
• Health: 2.11% (yoy)
• Provision of food and beverages/restaurants: 1.61% (yoy)
• Housing, water, electricity, and household fuels: 1.59% (yoy)
• Education: 1.26% (yoy)
• Recreation, sports, and culture: 1.18% (yoy)
• Clothing and footwear: 0.75% (yoy)
• Transportation: 0.48% (yoy)
• Furnishings, household equipment, and routine household maintenance: 0.23% (yoy)

Meanwhile, only one expenditure group experienced annual deflation or price decreases in October 2025, namely information, communication, and financial services, which fell by 0.25% (yoy).

Commodities that experienced annual inflation or price increases in October 2025 include rice, red chili, shallots, broiler chicken meat, broiler chicken eggs, cooking oil, fresh fish, tomatoes, coconut, processed coconut milk, ground coffee, hand-rolled clove cigarettes, and machine-rolled clove cigarettes.

Annual inflation also occurred in house rental prices, household fuels, PAM drinking water tariffs, household assistant wages, cars, university tuition fees, and gold jewelry.

Conversely, commodities that experienced annual deflation or price decreases in October 2025 include garlic, cayenne pepper, pork, powdered detergent soap, liquid soap/dishwashing liquid, liquid detergent, laundry freshener, air transport fares, train fares, mobile phones, and high school tuition fees.

In October 2025, all 38 provinces in Indonesia experienced annual inflation. The highest inflation occurred in North Sumatra with a rate of 4.97% (yoy), and the lowest in Papua at 0.53% (yoy).