|
 |
|
Indonesian
inflation rate jumps again in November
JAKARTA: Indonesia's inflation rate came in higher-than-expected
for the second consecutive month in November, clocking in
at 18.38 percent year-on-year, the Central Statistics Agency
(BPS) said Thursday.
The country's consumer price index (CPI) rate was up on October's
17.89 percent which was attributed to a drastic hike in fuel
prices on Oct. 1 -- and was higher than analyst forecasts
of 16.60 to 17.48 percent. BPS head Choiril Maksum said that
the month-on-month rate was up 1.31 percent, compared to analyst
expectations of 0.54 percent. October's month-on-month rate
was 8.7 percent.
The government raised fuel prices last month by an average
of 126 percent to relieve some of the pressure caused by crippling
state fuel subsidies after global oil prices struck historic
highs. Bank Indonesia said Wednesday it planned to maintain
its tight monetary policy next year to curb inflationary pressure.
The central bank has been cranking up its key interest rate
this year to ease inflation and defend the rupiah. Its one-month
benchmark rate now stands at 12.25 percent, compared to 7.42
percent in January. Bank governor Burhanuddin Abdullah forecast
Wednesday that the year-on-year inflation rate would run at
about 15 percent until August next year and said the bank's
key interest rate would follow inflation. He said he expected
2006 inflation of seven to eight percent.
Indonesia's Vice President Yusuf Kalla said earlier this week
that the bank should start lowering rates as he said inflation
had hit a peak in October and the rupiah, which had spiraled
to fresh lows, stabilized.(afp/jp/IM)
|
|
