City Synergizes with Other Regions to Control Inflation Approaching End of the Year

To control inflation to the end of the year, the Jakarta Provincial Government is synergizing with other regional governments, namely Banten, West Java, Central Java, Bogor, Depok, Tangerang, and Bekasi through the High-Level Meeting (HLM) of the Regional Inflation Control Team (TPID) at Jakarta City Hall, Central Jakarta.

It aims to overcome problems, especially the increase in commodity prices for cayenne peppers and red chilies

This synergy is in line with the direction of Home Minister, Tito Karnavian, thus each region can control inflation.

"According to the Home Minister at the Ind onesian Regional Inflation Control Coordination Meeting on November 20, 2023, what needs to be done is Gerakan Tanam (Planting Movement). It aims to overcome problems, especially the increase in commodity prices for cayenne peppers and red chilies," explained Jakarta Acting Governor, Heru Budi Hartono, in the Jakarta Government's press release, Thursday (11/30).

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He mentioned that another direction from the Home Minister was to take action to stabilize food supplies and prices. This method could be implemented by checking stock availability, monitoring distribution systems and channels, and increasing food reserves. It is a focus, considering that the National Religious Holidays approaching Christmas, New Year, and other major events require handling of food.

The meeting itself was vital considering the important role of Jakarta, West Java, and Banten in determining the wheels of the economy and the development of national inflation. The Jakarta, Banten, and West Java regions will contribute to the national economy in 2022 amounting to Rp 6,356.50 trillion or 32.45%. Even, the contribution of Jakarta, Bogor, Depok, Tangerang, and Bekasi (Greater Jakarta) to the national economy in 2022 will be Rp 4,504.26 trillion or 22.99% (data source BPS, processed).

Moreover, the Greater Jakarta area contributed 46.15% to national inflation. Aside that, Jakarta, West Java, and Banten contributed 53.34% to national inflation.

As for the information, the high-level meeting created inter-regional cooperation in maintaining inflation stability ahead of Christmas and New Year, including maintaining food security and inflation stability including providing supplies, both upstream and downstream by Food BUMDs. The food commodities produced from this collaboration are rice, chicken eggs, granulated sugar, cooking oil, chilies, beef, chicken, and fish.

Besides that, cooperation was also made in terms of effective communication to control inflation expectations in society, distribution of Food Supply and Price Stabilization (SPHP) and food quality monitoring, as well as data reconciliation in the food information system. The follow-up plans for this meeting are that all regions agree to harvest chilies simultaneously, review joint markets, and implement the Cheap Food Movement simultaneously in each region.

Besides regional government officials, it was also attended by officials from the Coordinating Ministry for Economic Affairs, National Food Agency, Central Provincial Statistics Agency, Food Task Force, and Bank Indonesia Representatives from Jakarta, Banten, and West Java. Representative of the Coordinating Ministry for Economic Affairs, Deputy for Macroeconomic and Financial Coordination, Ferry Irawan.

“Suggestions and input, thus the food balance system and data can be validated. So, the surplus of each region can be identified and it can be distributed to other regions," he stated.