Jakarta. Bank Indonesia (BI) is set to strengthen its food price control strategy ahead of Ramadan 2026, aiming to keep inflation in check while safeguarding consumers’ purchasing power.

BI Deputy Governor Ricky P. Gozali said stable food prices are key to maintaining low inflation and supporting household spending, particularly as food commodities, especially horticulture, are seasonal and vulnerable to extreme weather.

“Close collaboration between the central and regional governments, ministries and agencies, businesses, and lawmakers is key to maintaining price stability and strengthening food security,” Ricky said, as quoted from the Bank Indonesia Podcast on Monday.

Throughout 2025, national inflation stood at 2.92%, remaining within BI’s target range of 2.5% ±1%. However, inflation rose to 3.55% in January 2026, largely driven by higher prices in the volatile food category, underscoring persistent food price pressures as a primary inflation driver.

Ricky stressed that food inflation control must be reinforced consistently and sustainably. To support this, the Food Inflation Control Movement for Prosperity (GPIPS) was introduced as an enhancement of the earlier National Movement for Inflation Control (GNPIP), offering a more integrated and comprehensive approach.

GPIPS is built on three main strategies. First is boosting food production, particularly horticulture, through the use of weather-resilient seeds, adaptive technologies, and better-coordinated planting patterns across regions and seasons.

Second is strengthening interregional distribution and connectivity to ensure smooth supply and dampen price volatility, including improving logistics efficiency and optimizing interregional cooperation supported by state-owned logistics firms.

Third is enhancing synergy between central and regional governments through the use of food balance data and a stronger role for regionally owned food enterprises as offtakers to secure stable supply.

Ricky noted that challenges ahead are expected to grow more complex due to climate change, extreme weather, and distribution disruptions. As such, food inflation control must focus not only on short-term price stability but also on structurally strengthening food security.

“Going forward, Bank Indonesia together with the central and regional governments will continue strengthening synergy and collaboration in supporting food security and inflation control through extreme weather risk mitigation and improved food logistics efficiency to maintain price stability, reduce disparities, and enhance public welfare,” Ricky concluded.