Indonesia Prepares Three Strategies to Safeguard Inflation

Jakarta, MINA – Indonesia Government and Bank Indonesia (BI) have agreed on three strategic steps to keep the consumer price index inflation (CPI) in range of 3.5, plus minus 1 percent in 2019.

BI Governor Perry Warjiyo said that this strategic step needs to keep continuing to strengthen inflation control after 2018 CPI inflation was at the level of 3.13 percent and was within its target range.

As quoted from Anadolu Agency (AA) the three steps are, according to Perry, are: first, keeping inflation within the target range mainly supported by the control of volatile food inflation in the maximum range of 4-5 percent.

Second, strengthening the implementation of the National Inflation Control Roadmap 2019-2021 by taking the implementation of the Roadmap for Inflation Control at the Provincial level.

Third, he continued strengthening the coordination of the Central and Regional Governments in controlling inflation through the holding of National Coordination Meeting on Inflation Control with the theme “Synergy and Inflation Control Innovation for Strengthening an Inclusive Economy”.

“This development is very positive considering the achievement of the inflation target for four consecutive years,” Perry said at the Central Inflation Control Team (TPIP) coordination meeting in Jakarta on Wednesday.

Perry added that this achievement was inseparable from the synergy of monetary and fiscal policies in managing healthy macroeconomic conditions and structural policies, including infrastructure development in various regions that improved connectivity and smooth distribution.

He continued that the government at the central and regional levels and Bank Indonesia will continue to strengthen policy coordination to bring inflation in a downward trend in the range of 3, plus minus 1 percent in 2020 and 2021.

Perry said this downward trend could support strong, sustainable, balance and inclusive economic growth. (T/Sj/P2)

Mi’raj News Agency (MINA)