Of January, Indonesia's inflation 8.22%

Of January, Indonesia's inflation 8.22%

Indonesian Inflation remains high in January because of rising food prices due to flooding hampered distribution . Bank Indonesia ( BI ) continues to be urged to maintain economic growth despite the policy tightening slows .

Inflation -on-year January was 8.22% , lower than the December inflation at 8.38% , according to the Central Statistics Agency ( BPS ) said on Monday . This figure is still higher than the Bank 's inflation target this year is 3.5 % -5.5 % range .

Compared to the previous month , prices rose 1.07 % or higher than the increase of 0.55 % for December .

The median forecast of nine economists surveyed by The Wall Street Journal for an annual inflation rate was 8.30 % . While the median forecast of seven economists was for a 1.0 % monthly increase in inflation .

BI has raised the BI rate by a total rate of 175 basis points last year to mitigate the impact of rising inflation and a widening current account deficit . The deficit also have a negative impact on the exchange rate since last May .

Some economists say the Bank may be forced to raise the BI rate if global investor sentiment deteriorated over the developing world .

Core inflation in January was 4.53 % , lower than the December core inflation at 4.98 % . Core inflation does not include volatile food prices and the prices set by the government .

Staple food prices rose 2.72% in January when compared to December , said Head of BPS Suryamin in a press conference .