Bond.az – Indonesia's annual inflation rate likely accelerated to 2.97% in May, according to a Reuters poll, moving closer to the central bank's upper target range.
Price increases for non-subsidised fuel, airfares, and cooking oil drove the rise. The poll surveyed 14 respondents for headline inflation.
Core inflation for May stood at 2.52% median, up from 2.44% in April. Bank Indonesia maintains a 1.5%-3.5% target for 2026-2027.
Eleven economists expect the trade surplus to decline to $1.50 billion in April from $3.32 billion in March. Exports are forecast to rise 8.8% YoY, imports up 3.25%.
Earlier, Bank Indonesia raised rates by 50 bps to support the rupiah. The government expanded fuel subsidies amid global oil volatility.
