Year-on-year (YoY) inflation in March 2025 was reported at 1,03% or lower compared to annual inflation in March 2024 which reached 3,05%. Furthermore, this month's inflation value was also higher than the previous month, February 2025 which reached -0,09%. The decrease in YoY inflation in March 2025 compared to February 2025 was driven by a decrease in prices in...Read more

Women's participation in the labor market is no longer a side issue, but rather the core of inclusive economic development. Although women's participation has increased slowly over the past decade, the gender gap in Indonesia's labor market remains quite high, with women's participation far below men's on average. The 2023 Sakernas data revealed that Indonesian women face various structural challenges such as limited...Read more

Indonesia experienced deflation of 0,09% (yoy) in February 2025, below Bank Indonesia's target range of 1,5%-3,5%, mainly due to electricity tariff adjustments. Core inflation remained stable, indicating that the decline was not driven by weakening demand. Inflationary pressures are expected to increase in the coming months as demand increases during the fasting month and subsidies end...Read more

Summary ● The macroeconomic assumption of 5,2%1 in the preparation of the 2025 State Budget shows a less aggressive but realistic government target considering the current weakening economic conditions. ● The government through Presidential Instruction2 has implemented a budget efficiency policy of Rp306,69 trillion, consisting of Rp256,1 trillion from the ministry/institution budget and Rp50,59 trillion from Transfers to Regions. ● The efficiency policy will affect...Read more

Headline inflation in January 2025 was recorded at 0,76% (yoy), its lowest level since 2000 and below BI's target range. This was largely influenced by electricity tariff discounts of up to 50% for certain household groups. Last month, the Fed, in line with market expectations, kept its benchmark interest rate on hold and Bank Indonesia inadvertently...Read more

The opening of the year in January 2025 was greeted by an inflation rate of 0,76%. This figure is lower than January 2024 at 2,57%. The inflation that occurred in January 2025 on a year-on-year (YoY) basis was driven by price increases in several expenditure groups such as price increases in the personal care group and other types with a rate of 7,27%, food group,...Read more

Poverty and inequality are two major issues in economic and social development in Indonesia. The latest data from the Central Statistics Agency (BPS) shows a gradual decline in poverty, but inequality remains a significant challenge. The official BPS report released in January 2025 describes various developments in poverty rates and economic inequality that have occurred throughout...Read more