Indonesia central bank sees headline Oct inflation easing to 5.8% Y/Y

JAKARTA : Indonesia central bank expects headline inflation this month to ease to 5.8 per cent year-on-year and food inflation to come in below 10 per cent amid efforts by authorities to ensure food supplies, a deputy governor said on Monday.

The annual inflation rate in Southeast Asia's biggest economy in September reached a new seven-year high at 5.95 per cent, with volatile food inflation at 9.02 per cent.

Deputy governor Dody Budi Waluyo also warned that the central bank sees risks from high global energy and food prices persisting, particularly with European countries set for higher demand during winter.

"We see the potential of higher gas and oil prices in the coming months," he said, noting that wheat supplies could also face further retractions due to the war in Ukraine.

The statistics office will announce official data on October inflation on Tuesday Nov 1.