Indonesia’s April 2026 Inflation Hits 2.42% Driven by Food and Gold

Indonesia’s consumer price index climbed 2.42 % year‑on‑year in April 2026, the highest level since April 2025, according to the Badan Pusat Statistik (BPS) [1]. The rise was anchored by price gains in food, beverage and tobacco groups as well as a surge in gold jewelry prices, which together pushed the overall inflation rate upward.

Key takeaways

• Year‑on‑year inflation reached 2.42 % in April 2026, up from 1.95 % in April 2025 [1].
• Food, beverage and tobacco items recorded a 3.06 % price increase, contributing 0.90 % to the overall rate [1].
• Personal‑care and other services, dominated by gold jewelry, showed an 11.43 % rise, adding 0.77 % to inflation [1].
• Monthly inflation slowed to 0.13 % after a 0.41 % rise in March, with transport costs (especially air fares) being the main driver [1].
• All provinces posted annual inflation; the highest was 5.00 % in Papua Barat, while the lowest was 0.53 % in Lampung [2].

Food, Tobacco and Gold Drive the Inflation Surge

BPS deputy Ateng Hartono explained that the food, beverage and tobacco group, which includes staples such as fresh fish, chicken, rice and cooking oil, posted a 3.06 % price rise in April [1]. This sector alone supplied 0.90 % of the total inflation, making it the largest contributor among expenditure categories [2]. Within the same group, rice contributed 0.18 % and fresh fish 0.22 % to the annual increase [3].

The personal‑care and other services category, however, recorded the sharpest price jump at 11.43 % month‑to‑month, driven primarily by gold jewelry [1]. Gold’s contribution to the annual inflation tally was 0.70 % according to BPS, and it accounted for a 0.77 % share of the overall rate [3][4]. The surge in gold prices amplified the inflation pressure on the “perawatan pribadi” (personal‑care) basket, which otherwise would have kept the overall rate much lower [4].

Transport Costs and Regional Variations

Month‑to‑month inflation was modest at 0.13 %, but the transport group lifted it by 0.12 % of the total. Air‑fare tariffs alone added 0.11 % while gasoline contributed 0.02 % [1][2]. These transport‑related pressures helped offset the deflation observed in the food, beverage and tobacco group, which recorded a 0.20 % decline month‑to‑month [2].

Regionally, every province experienced annual inflation, but the magnitude varied widely. Papua Barat posted the highest annual rate at 5.00 %, whereas Lampung recorded the lowest at 0.53 % [2][4]. The disparity reflects differing local price dynamics, especially in food and fuel markets.

Why it matters

The April 2026 inflation figure signals a shift from the early‑year surge driven by low‑base electricity tariffs toward broader price pressures in essential commodities and luxury goods like gold [4]. Policymakers will need to monitor food‑price volatility and the gold market, as both have outsized effects on household purchasing power. Continued inflation in the transport sector, particularly air fares, could further influence consumer spending patterns. The regional spread of inflation underscores the importance of targeted measures to support provinces facing higher price growth, while maintaining overall macro‑economic stability.