Ada Pertanyaan? Hubungi Kami 
Ada Pertanyaan? Hubungi Kami Fathan Qorib, Andin Aditya Rahman
Indonesian inflation figures have continuously risen throughout this year. According to Difi A. Johansyah, Executive Director of the Communications Department at Bank Indonesia (BI), this has primarily been caused by imports continually exceeding exports over this period.
“Imports of essential items have risen steadily year-on-year, which shows that our agricultural base has failed to establish national food security, hence the increasing number of imports,” he explained.
Anther problem, he continued, is Indonesia’s geographical nature as an archipelagic state, which has contributed to high economic disparity between regions.
Ahmad Erani Yustika, a lecturer at the Economics and Business Faculty at Brawijaya University, explained developing nations are prone to inflation. Therefore, it is not surprising that the Government places inflation as a priority issue.
Deni P. Purbasari, lecturer from the Economics and Business Faculty of Gadjah Mada University, believes that there are four main reasons for this year’s inflation. The first two reasons are the increase of the minimal wage by 19 percent from the previous year and second the rise in subsidized fuel prices.
The third reason, continued Deni, is that BI was late in taking actions to increase Indonesia’s inflation rate. Deni is of the view that BI should have increased the inflation rate early this year, even if inflation at that time was only caused by volatile food prices.
The final reason is the Government’s policy on restricting food and horticultural imports.
“Production, consumption and distribution of food are complex issues, each with different market structures with respective risks. The Government must ensure healthy and competitive business climates,” concluded Deni.
(hot/kc)
Fathan Qorib, Andin Aditya Rahman
Indonesian inflation figures have continuously risen throughout this year. According to Difi A. Johansyah, Executive Director of the Communications Department at Bank Indonesia (BI), this has primarily been caused by imports continually exceeding exports over this period.
“Imports of essential items have risen steadily year-on-year, which shows that our agricultural base has failed to establish national food security, hence the increasing number of imports,” he explained.
Anther problem, he continued, is Indonesia’s geographical nature as an archipelagic state, which has contributed to high economic disparity between regions.
Ahmad Erani Yustika, a lecturer at the Economics and Business Faculty at Brawijaya University, explained developing nations are prone to inflation. Therefore, it is not surprising that the Government places inflation as a priority issue.
Deni P. Purbasari, lecturer from the Economics and Business Faculty of Gadjah Mada University, believes that there are four main reasons for this year’s inflation. The first two reasons are the increase of the minimal wage by 19 percent from the previous year and second the rise in subsidized fuel prices.
The third reason, continued Deni, is that BI was late in taking actions to increase Indonesia’s inflation rate. Deni is of the view that BI should have increased the inflation rate early this year, even if inflation at that time was only caused by volatile food prices.
The final reason is the Government’s policy on restricting food and horticultural imports.
“Production, consumption and distribution of food are complex issues, each with different market structures with respective risks. The Government must ensure healthy and competitive business climates,” concluded Deni.
(hot/kc)