Indonesia’s annual inflation rate increased to 2.86% in November 2023 from 2.56% in the prior month, beating market forecasts of a 2.7% rise, remaining within the central bank’s target of 2-4% for a 7th consecutive month. It was the highest inflation rate since August, mainly driven by faster rises in transport prices (1.27% vs 1.20% in October) and food & beverages, with food prices rising the most in nine months (6.71% vs 5.41%). Prices continued to rise for housing (1.12% vs 1.16%), clothing (0.69% vs 0.85%), recreation, sport & culture (1.38% vs 1.50%), furnishings (1.63% vs 1.89%), accommodation/restaurant (2.18% vs 2.21%), health (2.04% vs 2.04%), and education (1.98% vs 1.99%), and information, communication & financials (0.07% vs 0.11%). Core inflation slowed to a 22-month low of 1.87% in November, compared to expectations of 1.9%. Monthly, consumer prices climbed 0.38% in November, the most in 11 months, after a 0.17% gain in October, exceeding forecasts of a 0.22% growth.
