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Monday, March 21, 2011

Indonesia 2011 inflation could below 6 pct if fuel subsidy cut delayed

Indonesia's annual inflation rate in 2011 could be below 6 percent if the government delays a plan to cut fuel subsidies for private cars, said central bank governor Darmin Nasution on Monday.

Indonesia's chief economic minister Hatta Rajasa had said the government decided to delay the plan, without mentioning a timeline.

A government official said earlier the government had decided to delay scrapping fuel subsidies for private cars until July 1.

Meanwhile, Indonesia's statistics bureau chief Rusman Heriawan said on Monday that monthly inflation in March might be close to monthly inflation in February of 0.13 percent.

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