Coordinating Minister for Economic Affairs Airlangga Hartarto highlighted eight steps that should be taken by regional governments to maintain price stability and control inflation in their regions.
“First, expanding cooperation between regions, especially for surplus and deficit areas, in maintaining the availability of commodities,” Hartarto remarked at the 2022 Central and Regional Coordination Meeting for Inflation Control here on Wednesday.
The second step is conducting market operations in ensuring price affordability by involving several stakeholders, while the third entails using digital trading platforms to ensure smooth distribution of commodities.
The fourth step pertains to budgets, such as spending the budget for covering unexpected expenses in order to tackle inflation, optimizing the physical Special Allocation Fund (DAK) for food security, and utilizing two percent of the General Transfer Fund (DTU) to assist the public transportation sector and social protection for vulnerable groups.
The fifth step calls for accelerating the implementation of planting food commodities, such as chili, in respective house yards, while the sixth measure necessitates compiling a balance sheet of strategic food commodities by all local governments.
The seventh step involves strengthening infrastructure for storing harvested crops, while the eight measure pertains to reinforcing synergy between the Central Inflation Control Team (TPIP) and the Regional Inflation Control Team (TPID) through the National Movement for Food Inflation Control (GNPIP) to expedite price stabilization.
In addition, Hartarto urged local governments to master the data of top commodities that contribute to inflation, such as onions, chili, cayenne pepper, cooking oil, and meat.
He also noted that Indonesia’s inflation currently stands at 4.69 percent, but it is still maintained due to subsidies.
Meanwhile, Bank Indonesia Governor Perry Warjiyo emphasized the importance of synergy and gotong royong (collaboration) between the central and local governments to control inflation.
“In Indonesian culture, we uphold gotong royong. This spirit is expected to (help) control inflation,” he remarked.
Source: Antara News