BPS: Poverty Rate Increase Due to Fuel Price Increase
The Central Statistics Agency (BPS) recorded that the number of poor people in Indonesia as of September 2022 was 26.36 million people.
IDXChannel - The Central Statistics Agency (BPS) recorded that the number of poor people in Indonesia as of September 2022 was 26.36 million people, an increase of 0.20 million people from March 2022. There are several phenomena that affect the increasing number of poor people, including the increase in fuel oil (BBM) prices and layoffs.
Head of BPS Margo Yuwono said that the increase in fuel prices on September 3, 2022 resulted in an increase in agricultural production costs. The index of production costs and the addition of capital goods in the food crops and capture fisheries subsector increased.
"The increase was mainly driven by the increase in gasoline, diesel prices, and transportation costs," said Margo in his presentation.
Based on BPS records, pertalite price increased by 30.72 percent, then diesel price increased by 32.04 percent and Pertamax increased by 16 percent. The increase in fuel prices directly has an impact on the surge in inflation. Although the increase was only made in September, the annual inflation rate throughout 2022 was recorded at 5.51 percent (yoy). The inflation rate in September was 5.95 percent (yoy).
According to Margo, the impact of rising fuel prices on inflation in 2022 is not as severe as in previous periods thanks to the strengthening of social cushioning.
He gave an example, when fuel prices increased in 2005, the inflation rate in that year reached 17.11 percent. Then, when there was an increase in fuel prices in 2014, the inflation rate was 8.36 percent.
"The management of government assistance to the community is getting better because there is a thickening of social assistance so that the impact of inflation is not as high as in the previous period," said Margo.
Margo said that the government budgeted Rp24.17 trillion as a cushion to protect people's purchasing power from the impact of rising fuel prices.
According to Margo, the impact of rising fuel prices on inflation in 2022 is not as severe as in previous periods thanks to the strengthening of social cushioning.
He gave an example, when fuel prices increased in 2005, the inflation rate in that year reached 17.11 percent. Then, when there was an increase in fuel prices in 2014, the inflation rate was 8.36 percent.
"The management of government assistance to the community is getting better because there is a thickening of social assistance so that the impact of inflation is not as high as in the previous period," said Margo.
Margo said that the government budgeted Rp24.17 trillion as a cushion to protect people's purchasing power from the impact of rising fuel prices.
"Watch our show IDX Channel Official Youtube on the Market Headlines Program, Tuesday (17/1/2023) with the theme BPS: Poverty Rate Increase Due to Fuel Price Increase.
(DKH)