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Consumer Prices Fall 0.08% in August 2025 as Food and Transport Costs Drop

Akmalal Hamdhi
September 1, 2025 | 1:23 pm
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Rice traders wait for customers at the Mandonga market in Kendari, Southeast Sulawesi, Thursday, July 17, 2025. (Antara Photo/Andry Denisah)
Rice traders wait for customers at the Mandonga market in Kendari, Southeast Sulawesi, Thursday, July 17, 2025. (Antara Photo/Andry Denisah)

Jakarta. Indonesia recorded deflation of 0.08 percent in August 2025 on a month-to-month basis, according to the Central Statistics Agency (BPS). The figure is deeper than the 0.03 percent deflation seen in August last year.

BPS Deputy for Distribution and Services Statistics Pudji Ismartini said the consumer price index fell from 108.60 in July to 108.51 in August.

“The August 2025 deflation reached 0.08 percent, compared with 0.03 percent in the same month last year,” Pudji told a press conference in Jakarta on Monday.

The sharpest decline came from the food, beverages, and tobacco group, which fell 0.29 percent. Tomatoes contributed the most to deflation at 0.10 percent, followed by bird’s eye chili at 0.07 percent, airfares at 0.03 percent, and subsidized fuel at 0.02 percent.

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Other categories that saw price declines included clothing and footwear (0.10 percent), household equipment (0.06 percent), transportation (0.19 percent), and information, communication, and financial services (0.04 percent).

However, some commodities still drove inflation, notably shallots with a contribution of 0.05 percent and rice at 0.03 percent.

On an annual basis, Indonesia’s inflation stood at 2.31 percent year-on-year, while year-to-date inflation was 1.60 percent.

Government-regulated prices also posted a decline of 0.08 percent, mainly due to lower airfares and subsidized fuel prices.

In contrast, the core inflation component registered an increase of 0.06 percent, driven by higher university tuition fees, jewelry prices, and primary school fees.

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