FX.co ★ Indonesia Posts Surprise Deflation in January as Consumer Prices Dip Month-on-Month

Indonesia’s inflation dynamics reversed course at the start of 2026, with prices slipping into deflation on a month-over-month basis. According to data updated on 2 February 2026, the country’s consumer price indicator fell by 0.15% in January 2026 compared with December 2025.

The move marks a sharp turnaround from the previous month. In December 2025, the indicator had risen by 0.64% month-on-month, showing a notable increase in prices relative to November. The latest reading therefore signals a cooling in short-term price pressures as January’s result is measured against that earlier monthly surge.

The month-over-month framework compares each month’s change in prices against the immediately preceding month. In this case, the “actual” January figure of -0.15% reflects a modest decline in consumer prices versus December, while the “previous” December reading of 0.64% captured the jump in prices from November to December 2025.