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Malang City's January Inflation Lowest in East Java

Malang, (malangkota.go.id) – Based on the release of the Central Statistics Agency (BPS) of Malang City on February 1, 2021, the inflation of Malang City in January 2021 was 0,06 percent with the Consumer Price Index (CPI) of 104,09. Meanwhile, the year-on-year inflation rate (January 2021 compared to January 2020) was 1,07 percent.

Head of Bank Indonesia Malang Representative Office, Azka Subhan Aminurridho

Of the 8 IHK cities in East Java, all cities experienced inflation. The highest inflation occurred in Madiun City at 0,60 percent, followed by Surabaya City at 0,37 percent, Probolinggo City at 0,28 percent, Jember at 0,25 percent, Banyuwangi at 0,18 percent, Kediri City at 0,16 percent, and Sumenep and Malang City each at 0,06 percent.

This achievement cannot be separated from the still high Covid-19 conditions and the re-implementation of the Malang Raya Community Activity Restrictions (PPKM) starting January 11, 2021, which has affected people's purchasing power.

The main contributors to inflation in Malang City came from the food, beverage, and tobacco groups, including cayenne pepper, tempeh, and raw tofu with respective contributions of 0,22%, 0,04%, and 0,03%. The increase in cayenne pepper prices was more due to seasonal factors along with the start of the planting season in December, and the harvest which usually only takes place in March.
These were some of the things conveyed by the Head of Bank Indonesia Malang Representative Office, Azka Subhan Aminurridho on Tuesday (02/02/2021). In addition, he said, high rainfall in a number of production centers also contributed to the increase in chili prices. Inflation was quite restrained by the correction of air transportation rates which caused deflation with a contribution of -0,08%.

There was a decrease in passengers at Abdulrachman Saleh Airport in Malang along with the PPKM in Malang Raya which was again extended. The airport management said that during the January 2021 period, there were 110 aircraft takeoffs and 110 landings with a total of 11.135 arriving and departing passengers, indicating a decrease of -73,31% (mtm).

"The '4K' control strategy (supply availability, price affordability, smooth distribution, and effective communication) is still needed to maintain stable inflation while maintaining people's purchasing power amid the Covid-19 pandemic," added Azka.

The direction of the supply availability policy can be done by utilizing digital farming technology and diversification of processed food products. "Smooth distribution through market digitalization and online shopping platforms that can facilitate the community with easy delivery using online transportation," he explained.

In addition, it is necessary to strengthen the implementation of supply availability and price stability (KPSH). Effective communication also continues to be carried out focusing on improving the quality and accessibility of data, increasing the intensity of communication and coordination, and always providing appeals to the public.

In the Bank Indonesia Malang work area, said Azka, the Regional Inflation Control Team (TPID) continues to strive to maintain the stability of food stocks and prices amid the Covid-19 pandemic, including through conducting surveys and price monitoring by TPID and the food task force, implementing market operations involving Bulog and other related parties.

"Moving forward, Bank Indonesia Malang remains committed to maintaining price stability and strengthening policy coordination with the government at the regional level, in order to control inflation in 2021 in accordance with its target range of 3,0%±1%," he explained.

In addition, Bank Indonesia Malang and the local government also continue to strive to encourage economic activities. This is by paying attention to health protocols and increasing people's purchasing power during the Covid-19 pandemic as part of efforts to support the National Economic Recovery (PEN) program. (say/rika/ram)

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