Indonesia's annualized inflation drifts up 3.32 pct in May on rising food prices

Source: Xinhua| 2019-06-10 15:02:27|Editor: xuxin
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JAKARTA, June 10 (Xinhua) -- Indonesian consumer price index edged up in May year-over-year as seasonally rising demand of basic food commodities buoyed prices during Islamic fasting month.

National statistics bureau announced on Monday that annualized inflation in May picked up 3.32 percent, coming above 2.83 percent in the presiding month.

On month, inflation accelerated at a faster pace 0.62 percent compared with 0.44 percent in April, head of the bureau Kecuk Suhariyanto said.

Muslims in Indonesia, the world's largest Muslim nation, performed fasting from May 5, and it ended with the Islamic festivity of Eid al-Fitr.

The annualized core inflation, scrapping administered prices and volatile food prices, ticked up to 3.12 percent in May from 3.05 in April, he said.

More-than-expected dovish tone signaled from the U.S. Federal Reserve to help spur the country's economy may give space for the Indonesian central bank, which has aggressively ratchet up its benchmark interest rate last year, to apply stimulus to economy.

In addition, inflation remains on its target range of 2.5 to 4.5 percent this year.

The Southeast Asia's biggest economy is estimated to expand 5.3 percent this year after logging 5.17 percent growth last year.