No. 28/209/DKom
Consumer Price Index (CPI) inflation in September 2026 was contained within the 2.5%±1% target corridor. Based on data released by BPS-Statistics Indonesia, the CPI in September 2026 recorded 0.30% (mtm) inflation, bringing annual headline inflation to 3.28% (yoy). Inflation was maintained within the target range due to monetary policy consistency and close inflation control synergy between Bank Indonesia and the (central and regional) Government through the Central/Regional Government Inflation Control Teams (TPIP/TPID), while strengthening implementation of the National Food Security Program. Moving forward, Bank Indonesia is confident that inflation will remain under control and within the 2.5%±1% target range in 2026 and 2027.
Core inflation remained under control. Core inflation in September 2026 was recorded at 0.10% (mtm), lower than 0.21% (mtm) realised in the previous period. Core inflation developments were influenced by anchored inflation expectations amid persistently high global commodity prices. The main contributor to core inflation was college/university tuition fees. Annually, core inflation in September 2026 was recorded at 2.84% (yoy), lower than the 2.92% (yoy) realised in the previous period. Annual core inflation was primarily driven by gold jewellery in line with rising international gold prices.
Volatile food (VF) inflation remained under control. VF in September 2026 recorded 1.46% (mtm) inflation, up from 0.88% (mtm) inflation in the previous period. The main contributors to VF inflation were bird's eye chillies, red chillies, purebred chicken meat, rice and purebred chicken eggs in line with lower production in several production hubs, primarily due to weather disruptions, alongside higher production input costs. Annually, VF inflation was recorded at 5.03% (yoy), up from 4.06% (yoy) in the previous period. Moving forward, VF inflation is expected to remain under control, supported by close inflation control synergy between Bank Indonesia and the TPIP/TPID teams, as well as implementation of the Inflation Control and Food Prosperity Movement (GPIPS), including measures to anticipate the impact of extreme weather disruptions (El Niño) on food prices.
Administered prices (AP) recorded low inflation. AP in September 2026 recorded low inflation close to 0% (mtm), up slightly from the 0.33% (mtm) deflation recorded in the previous period. AP inflation was primarily driven by petrol and diesel fuel in line with higher prices of non-subsidised Pertamax Turbo, Dexlite and Pertamina Dex fuel in September 2026, amid lower airfares. Annually, AP inflation was recorded at 3.25% (yoy), lower than the 3.32% (yoy) inflation recorded in the previous period.
Jakarta, 1st October 2026
Communication Department
Ramdan Denny Prakoso
Executive Director
