Institute for Research on Economics and Society – Faculty of Economics and Business – University of Indonesia

MACROECONOMIC ANALYSIS SERIES: Monthly Inflation, June 2021

Inflation in April was recorded at 1,68 percent year-on-year, stronger than the previous month with inflation of 1,42 percent. Inflation in this period was driven by strengthening core inflation and inflation in the goods component was volatile, although inflation in the price component regulated by the government experienced a slight weakening. Core inflation was recorded at 1,37 percent, stronger than the previous month with inflation of 1,18 percent. Inflation in the volatile goods price component also strengthened from 2,73 percent in April 2021 to 3,66 percent in May 2021. On the other hand, inflation in the government regulated price component weakened slightly from 1,12 percent in April 2021 to 0,93 percent in May 2021. However, the weakening of inflation in the price component regulated by the government was not strong enough to reduce general inflation in this period on a year-on-year basis.

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