Jakarta (Antara Bali) - Bank Indonesia (BI), the central bank, has predicted that inflation will reach 1.1 percent by the end of this month, as bad weather and floods continue to disrupt the country's transportation and logistics networks.
"Before the flooding, we had predicted that inflation would reach around 0.9 percent. However, now it seems like it will rise to 1.1 percent," BI Governor Darmin Nasution said here on Monday after a government meeting.
Darmin expressed hope that the weather would return to normal before the end of January so inflation would not exceed 1.1 percent.
"Hopefully, it will not reach 1.2 percent," the BI governor stated.
In the 2013 state budget, the annual inflation rate has been assumed to be 4.9 percent, considering that the nation has enough food stocks to last it until the end of the year.(*/DWA)
