Indonesia’s annual inflation quickened to 4.76% in February 2026, up from 3.55% in January, marking the highest rate since March 2023. The sharp increase was driven largely by base effects: electricity tariff discounts introduced in early 2025 had temporarily dampened prices last year, making the year-on-year comparison steeper. The latest figure exceeded the central bank’s target range of 1.5%–3.5%.
Core inflation, which excludes volatile food and administered prices, climbed to 2.63%, its fastest pace since May 2023. On a monthly basis, consumer prices rose 0.68%, reversing a 0.15% decline in January. This was the strongest month-on-month increase in ten months, pointing to a resurgence of price pressures at the start of the year.
