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Indonesia’s Inflation Hits 3.28% as Food, Transport Costs Rise

Bambang Ismoyo
October 1, 2026 | 1:36 pm
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Residents carry rice during the Affordable Food Movement program at the Kereng Bangkirai subdistrict office in Palangka Raya, Central Kalimantan, on Thursday, Oct. 1, 2026. (Antara Photo/Auliya Rahman/agr).
Residents carry rice during the Affordable Food Movement program at the Kereng Bangkirai subdistrict office in Palangka Raya, Central Kalimantan, on Thursday, Oct. 1, 2026. (Antara Photo/Auliya Rahman/agr).

Jakarta. Indonesia’s annual inflation accelerated to 3.28% in September 2026, driven primarily by higher prices for food, transportation and personal care, Indonesia’s Central Statistics Indonesia (BPS) reported on Thursday.

The annual inflation rate was reflected in the consumer price index (CPI), which rose to 112.31 in September from 108.74 a year earlier. On a monthly basis, inflation stood at 0.30%.

BPS Deputy for Distribution and Services Statistics Ateng Hartono said the food, beverages and tobacco group was the largest contributor to annual inflation, with prices rising 4.37% year-on-year (yoy) and contributing 1.28 percentage points to the headline rate.

“Annual inflation in September 2026 reached 3.28%, with the consumer price index rising from 108.74 in September 2025 to 112.31,” Ateng said at a press conference at BPS headquarters in Jakarta on Thursday.

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Key contributors within the group included fresh fish, cooking oil, rice, machine-made clove cigarettes, chicken meat, bird’s eye chilies and beef.

The transportation group also contributed to inflation, recording annual price growth of 4.84% and accounting for 0.58 percentage points of the national rate. Higher gasoline prices, airfares, engine oil, motorcycles and vehicle maintenance costs were among the main drivers.

Meanwhile, the personal care and other services group recorded the highest inflation rate among the three main contributors, with prices climbing 7.77% yoy. Gold jewelry was the primary driver of inflation in this category.

Ateng said all provinces recorded annual inflation in September. North Sulawesi posted the highest rate at 7.59%, while South Sumatra recorded the lowest at 2.55%.

“North Sulawesi recorded the highest inflation at 7.59%, while South Sumatra had the lowest at 2.55%,” he said.

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