Gold Prices Drive February 2026 Inflation in Indonesia
Jakarta – Rising global gold prices significantly contributed to Indonesia’s inflation in February 2026, reaching 0.68% month-to-month and 4.76% year-over-year. The increase in gold jewelry prices was a primary driver of this inflationary pressure.
Gold Jewelry as a Key Inflation Contributor
According to the Central Statistics Agency (BPS), gold jewelry experienced inflation of 8.42% in February 2026, contributing 0.19% to the overall monthly inflation rate. This marks the 30th consecutive month of inflation for gold jewelry, dating back to September 2023.
The personal care and other services group saw the largest impact from gold jewelry inflation, with an overall inflation rate of 2.55% and a contribution of 0.19%. This group’s inflation rate exceeded previous months and comparable periods in prior years.
On an annual basis, the personal care and other services group experienced inflation of 16.66%, with gold jewelry accounting for 1.12% of this increase. Consistent annual inflation in gold jewelry has been observed since February 2022.
Increased Gold Imports
Amidst rising demand and prices, Indonesia recorded a substantial increase in imports of precious metals and jewelry/gems. The largest source of these imports was Australia, accounting for 47.54% of the total and experiencing a 634.30% annual growth rate. Imports from Australia totaled US$1.07 billion.
(aid/fdl)