KEY TAKEAWAYS
- Indonesia’s headline inflation rose to 3.34% YoY in June 2026, up from 3.08% in May, with a CPI index of 111.89.
- The most consequential data point is the Administered Price component, which surged 1.41% MtM — the largest single-month jump in 2026.
- Core inflation rose modestly to 2.76% YoY (+0.17pp from May), driven by gold jewelry and services — consistent with structural rather than demand-pull dynamics.
- At 3.34% YoY, headline inflation remains within Bank Indonesia’s target corridor of 2.5%±1.0% — but now stands only 16 basis points from the 3.5% ceiling.
Regards, Aldiracita Research