Regional Inflation Control Coordination Meeting

Monday (04/03/2024), the Price, Finance and Tourism Statistics Team took part in the material for the regional inflation control coordination meeting for the 5th Sunday of February 2024 virtually in the Oku Regency Government Vidcon Room. This routine meeting is held every Monday and is attended by the Head of the relevant Department/OPD or their representative. Even though monthly inflation in February 2024 is relatively higher compared to the previous period, inflation for the calendar year (y-to-d) in February 2024 is still lower than February 2022 and February 2023. Inflation for the calendar year up to February 2024 is predominantly caused by volatile price components, mainly rice which contributes a national share of 0.24%.

Apart from the increase in domestic rice prices, the international market also experienced an increase in rice prices driven by a decrease in production due to the impact of El Nino and export restrictions imposed by India (Source: World Bank). Around 40% of global rice exports are contributed by India (Source: ricenewstoday.co). The largest rice imports throughout January 2024 came from Thailand, accounting for 53.53% of total rice imports. Historically, inflation due to increased demand during the months of Ramadan and Eid al-Fitr can occur in the period leading up to Ramadan. It is necessary to be wary of price increases for several commodities which may be affected by high demand ahead of Ramadan and Eid al-Fitr, such as air freight rates, beef, purebred chicken meat and purebred chicken eggs.