Inflation rate of July 2010 is 1.57%

The Consumer Price Index (CPI) in July 2010 was 121.74 or inflated 1.57 percent from June 2010 at 119.86. In July 2010, the changes of each expenditure group as follows: the foodstuff increased from 134.84 to 141.17 or inflated 4.69 percent; the prepared food, beverages, cigarette and tobacco increased from 128.48 to 129.32 or inflated 0.65 percent; the housing, water, electricity, gas and fuel increased from 116.36 to 116.66 or inflated 0.26 percent; the clothing decreased from 120.91 to 120.80 or deflated 0.09 percent; the health increased from 114.42 to 114.73 or inflated 0.27 percent; the education, recreation and sport increased from 114.42 to 115.40 or inflated 0.86 percent, and the transportation, communication and financial services increased from 103.89 to 105.46 or inflated 1.51 percent.

The inflation in July 2010 was mainly caused by price increases of several commodities, i.e.: rice, motor vehicle licenses renewal, purebred chicken meat, red chili, garlic, small chili, fresh fish, purebred chicken eggs, shallot, potato, cooked rice & side dishes served together, sugar, leasing house fee, passenger plane fare, beef, kangkung, green chili, carrot, apple, orange, fried chicken, filter cigarette, rental house fee, wages of labor, household fuel, elementary school education fees (SD), secondary school education fees (SLTP &SLTA), academy/university tuition fees and driving license services. Meanwhile, the prices of the following commodities were decreased, i.e.: gold accessories, tomato (vegetable), tomato (fruit) and cooking oil.

In July 2010, the core of CPI changed from 117.15 to 117.72 or inflated 0.49 percent (see Table 2). The administered price component changed from 114.68 to 116.10 or inflated 1.24 percent and the volatile component changed from 136.38 to 143.82 or inflated 5.46 percent.

The core inflation rate of calendar 2010 and year on year (July 2010 to July 2009) were 2.07 percent and 4.15 percent respectively. While inflation rate of the administered price component of calendar 2010 and year on year were 2.53 percent and 3.74 percent respectively. Furthermore, inflation rate of the volatile component of calendar 2010 and year on year were 12.37 percent and 16.18 percent.