JAKARTA — The government has ensured that the prices of essential goods remain stable during Ramadan and Eid al-Fitr 1447 Hijri, despite seasonal inflationary pressures. Coordinated measures between monetary authorities and ministries/agencies continue to be strengthened to ensure that the public can observe the holy month in peace, without being burdened by price spikes.
Bank Indonesia (BI) projects that annual inflation ahead of Ramadan and Eid 2026 will slightly exceed 3 percent, after recording 3.55 percent year-on-year in January 2026. BI Deputy Governor Aida S. Budiman explained that the increase was influenced by the base effect of a 50 percent electricity tariff discount policy implemented in early 2025, which statistically pushed this year’s inflation figure higher.
“How are conditions during Ramadan and Eid? Everything remains well under control. There is indeed an impact from administered prices due to last year’s electricity discount, so we estimate the figure will be slightly above 3 percent. However, this is temporary in nature,” Aida stated.
She emphasized that fundamentally, core inflation remains low at around 2.45 percent (yoy), while volatile food inflation is contained at 1.14 percent (yoy). Food supply conditions are also secure amid ongoing horticultural harvests of shallots, red chilies, and bird’s eye chilies. BI continues to conduct weekly price monitoring and ensures that all indicators remain within projected ranges.
Looking ahead, BI is confident that inflation in 2026–2027 will stay within the 2.5±1 percent target range. BI Governor Perry Warjiyo added that there remains room for a potential interest rate cut after BI maintained its benchmark rate at 4.75 percent, while still considering global dynamics and rupiah exchange rate stability. Inflation control efforts are further strengthened through synergy between the Central and Regional Inflation Control Teams under the coordination of the Coordinating Ministry for Economic Affairs.
On the food front, the government has optimized the Affordable Food Movement (GPM) program initiated by Badan Pangan Nasional (National Food Agency). As of mid-February 2026, the program had reached 1,218 locations across 497 regencies and cities, with 447 implementation points realized, distributing 16.2 thousand kilograms of strategic staple commodities.
Head of the National Food Agency and Minister of Agriculture, Andi Amran Sulaiman, emphasized that cross-sector collaboration will continue to be strengthened, and business actors are urged to comply with the Highest Retail Price (HET) and Reference Selling Price (HAP) policies.
“This is a form of our collaboration—we are working together. Last year, we saw that food prices were relatively stable. Even when there were occasional increases, they only affected one or two strategic commodities. We respectfully ask that prices be lowered,” Amran stated.
The government’s food price stabilization programs have been implemented simultaneously since February 2026 and have now reached approximately 69 percent of their targeted realization, reinforcing efforts to maintain price stability during Ramadan and Eid.
