Indonesia sees first deflation reading in more than two decades

CPI drops after Jakarta temporarily discounts electricity bills, prices of some foods fall

Indonesia's February CPI saw the second straight month below the central bank's inflation target range of 1.5% to 3.5%. Lower prices of some foods such as rice, tomatoes and red chilies contributed, as production recovered from the impact of a drought last year. © Reuters

March 3, 2025 22:07 JST

JAKARTA (Reuters) -- Indonesia's consumer price index fell for the first time in more than two decades in February, official data showed on Monday, after the government gave a substantial discount on electricity bills to support economic growth.

The consumer price index fell 0.09% year-on-year last month, the first annual measure of deflation since March 2000, and well below market expectations for 0.60% inflation.