It was reported that the Indonesian Central Bureau of Statistics (BPS) announced the inflation rate performed at 3.13% in 2018, which was lower than previous prediction from central government by 3.5% year over year. However, the central bank targeted the inflation rate would fall at the range of 2.5%-4.5%, and 3.13% was moderately in the middle of the range.

The report indicated that the moderate increasing rate of inflation was influenced by government’s adjustment and monitor to fuel and electricity prices.

Indonesian government has promised not to increase fuel and electricity subsidies. In this way, President Joko Widodo could maintain his popularity and win over the second term in the election held in April this year. A stable performance at consumer price index in the coming year was forecasted in Indonesia.