Jakarta (ANTARA News) - Economist from Asia Pacific Economic & Market Analysis Citi Research Helmi Arman predicted the countrys inflation in 2014 would be around 5.3 percent or still within Bank Indonesias target of 3.5-5.5 percent.

Helmi said most likely there will be imported inflation in the next several months for manufactured and electronic goods.

"We also continue to monitor adjustments at rented houses which have high portion in consumer price index," he said here on Monday

However, imported inflation would not significantly contribute pushing up inflation, he said.

He said his company is studying issue of change in the government policy in oil fuel prices.

"The possibility of the finance ministry proposing to float the prices of subsidized oil fuels is not yet included in our calculation," he said.

The Central Statistic Agency (BPS) announced earlier the countrys inflation in January was 1.07 percent mainly because of problem in the distribution of foodstuff by widespread flooding in the country.

Inflation on-year in January was 8.22 percent.

Core inflation in January was 0.56 percent and 4.5 percent on-year.

The inflation in January, 2014 was the highest in the same month in the past five years.(*)

Editor: Heru Purwanto
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