In August 2020, Central Java experienced deflation of 0.03 percent with a Consumer Price Index (CPI) of 104.62. Deflation in August 2020 occurred in 3 CPI cities in Central Java and 3 other cities experienced inflation. Purwokerto City recorded the largest deflation of 0.12 percent with a CPI of 104.08 followed by deflation in Cilacap City of 0.09 percent with a CPI of 103.40; and the smallest deflation in Semarang City of 0.06 percent with a CPI of 104.97. Surakarta City experienced the largest inflation of 0.12 percent with a CPI of 103.91 followed by Tegal City of 0.09 percent with a CPI of 105.20 and the smallest inflation in Kudus City of 0.05 percent with a CPI of 103.88. Deflation occurred due to a decrease in prices indicated by the price index of two expenditure groups, namely the food, beverage, and tobacco group by 0.96 percent and the information, communication, and financial services group by 0.04 percent. Meanwhile, the expenditure groups that experienced an increase in the index/inflation were the personal care and other services group by 2.02 percent; the recreation, sports, and culture group by 0.46 percent; the education group by 0.32 percent; the health group by 0.22 percent; the household equipment, tools, and routine maintenance group by 0.21 percent; the food and beverage/restaurant provision group by 0.14 percent; the clothing and footwear group by 0.14 percent; the transportation group by 0.12 percent; and the housing, water, electricity, gas, and other fuels group by 0.09 percent.
The main cause of deflation in Central Java in August 2020 was the decline in the prices of broiler chicken, shallots, red chilies, broiler chicken eggs, and rice. The main thing that holds back deflation in Central Java is the increase in the price of gold jewelry, cooking oil, garlic, house contracts, and high school.
The calendar year inflation rate in August 2020 was 0.70 percent and the year-on-year inflation rate (August 2020 to August 2019) was 1.28 percent.
