Indonesia's annual consumer price inflation eased to a three-month low of 3.13 percent in December 2018 from 3.23 percent in the previous month, but beating market expectations of 2.98 percent. Prices rose softer for: housing & utilities (2.43 percent vs 2.47 percent in November); foodstuff (3.41 percent vs 4.25 percent); prepared food, beverages, cigarette & tobacco (3.91 percent vs 4 percent); and clothing (3.59 percent vs 3.63 percent). On the other hand, prices went up faster for: transportation, communication & financial services (3.16 percent vs 2.62 percent); health (3.14 percent vs 3.11 percent), and education, recreation & sport (3.15 percent vs 3.13 percent). Annual core inflation rose to a 14-month high of 3.07 percent in December from 3.03 percent in November and in line with market consensus. On a monthly basis, consumer prices went up 0.62 percent, after a 0.27 percent gain in November and missing forecasts of a 0.48 percent rise. Inflation Rate in Indonesia averaged 10 percent from 1997 until 2018, reaching an all time high of 82.40 percent in September of 1998 and a record low of -1.17 percent in March of 2000.
Inflation Rate in Indonesia is expected to be 3.30 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Inflation Rate in Indonesia to stand at 4.20 in 12 months time. In the long-term, the Indonesia Inflation Rate is projected to trend around 3.80 percent in 2020, according to our econometric models.