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Jakarta Inflation Sharply Dips In May 2022

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Release Date	:	June 2, 2022
File Size	:	6.48 MB

Abstract

Amidst the euphoria of celebrating religious days, Jakarta inflation in May 2022 fell drastically compared to last April. The high mobility of people returning to their hometowns caused the demand for a number of goods and services to increase. Moreover, the lack of supply of several commodities has pushed prices up. However, the postEid price correction was able to reduce the inflation rate so that it was much lower than the previous month. During May 2022, Jakarta inflation was recorded at 0.06 percent, 0.64 percentage points lower than the earlier month. The rising prices of broiler eggs, shallots, garlic and air freight rates were the main triggers for inflation. The limited market supply pushed up the Consumer Price Index (CPI) for broiler eggs, shallots, and garlic commodities. Meanwhile, the high demand for air transportation services concerning the Eid homecoming and long weekends has made the tariffs for these modes of transportation increase. On the other hand, the decline in prices for chicken, cooking oil and rice restrained the inflation rate so that inflation was quite low.

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