Indonesia’s annual inflation rose to 3.28% in September 2026 from 3.19% in the previous month, roughly in line with market expectations of 3.3%. It marked the highest reading since June while remaining within Bank Indonesia’s 1-1/2%-3-1/2% target range. Food inflation hit a three-month peak (4.37% vs 3.86% in August), reflecting the persistent impact of El Niño disruptions. Additional upward pressures also came from housing (1.02% vs 1.01%), transport (4.84% vs 4.79%), clothing (1.20% vs 1.20%), furnishings (2.19% vs 2.0%), healthcare (2.24% vs 2.12%), communication (1.83% vs 1.72%), recreation, and restaurants (1.81% vs 1.75%), education (1.43% vs 1.20%), and personal care (7.77% vs 9.25%). Core inflation, which excludes volatile food and government-administered prices, eased to 2.84% from August’s over three-year high of 2.92%. On a monthly basis, consumer prices increased by 0.30%, up from a 0.21% rise in August and broadly matching forecasts for a 0.31% gain.