We have not seen such a low level of annual headline inflation since 2000 when the country was recovering from the Asian Financial Crisis. Usually, the month of July brings some inflation (see the table above) because families have to spend money in the context of the new school year. This year, it is a different story.

Also Indonesia’s core inflation, which excludes volatile food prices and government administered prices, remained very low in July 2020, albeit slightly improving from the preceding month. Core inflation rose 0.16 percent (m/m) in July 2020, from 0.02 percent (m/m) in June, showing Indonesians’ purchasing power modestly improved (probably because economic activity modestly rebounded in July as the government decided to relax the social and business restrictions).

[...]

Read the full article in the July 2020 edition of our monthly report. Order the report by sending an email to info@indonesia-investments.com or message to +62(0)8.788.410.6944 (incl. WhatsApp).

Price of the report:

- IDR 150,000
- USD $10.00
- EUR 10.00

View a list of all our monthly reports here.

Bahas