JAKARTA – Inflation pressure is expected to increase in February 2025, as reflected in Price Expectation Index (IEH) of 160.2 points, higher than the January 2025 forecast of 157.8 points. This inflation forecast is based on Bank Indonesia's Retail Sales Survey (SPE-BI) conducted in November 2024.

According to the SPE-BI report published on Friday (10/1), the anticipated rise in IEH for February 2025 aligns with the historical average price increase observed in the three years leading up to Ramadan.

However, inflation pressure is expected to ease in May 2025, with the IEH projected at 151.1 points, lower than the 165.4 points recorded in April 2025, reflecting the normalization of prices following the Eid al-Fitr celebration.

Meanwhile, SPE-BI respondents predict a decline in sales for both February and May 2025. The Sales Expectation Index (IEP) for February and May 2025 is projected at 127.7 points and 138.6 points, respectively, lower than the previous periods' readings of 144.6 and 146.5 points. (LK/ZH)