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"Dream - The Central Statistics Agency (BPS) reported that air transportation rates experienced deflation in March 2024, amounting to 0.97 percent ahead of the 2024 Eid holiday season."
Quoting from the Kemenkeu page, deflation is a phenomenon of price decrease that occurs within a certain region. In other words, air transportation rates at the beginning of the fasting month recorded a decrease.
The Acting Head of BPS Amalia Adininggar Widyasanti explained that there are three factors that caused air transportation rates to experience deflation throughout last month.
First, the community that uses air transportation is still limited. However, several airlines are noted to provide lower air transportation rates in March compared to the previous month.
The following text in 'Bahasa' translates to 'English' while preserving the HTML tags: "the word Amalia is quoted from Liputan6.com, Monday, April 1, 2024."
The second factor is the addition of flight routes by many provinces, which affects air transportation fares.
For example, Bangka Belitung and in Pangkal Pinang, as well as Jakarta-Bali flights which have increasingly frequent and diverse types.
Next, the third factor is the government's policy to lower tariffs to super-priority tourist destinations such as Bali, Labuan Bajo, and Lombok.
Amalia added, the inflation rate during this holy month of Ramadan is indeed slightly different compared to previous years. Based on historical data from BPS, during the moments of Ramadan and Eid al-Fitr in 2022 and 2023, the group that usually contributes the most to inflation is the food, beverage, and tobacco group, as well as transportation.
He said.
"Meanwhile, the transportation sector contributed to a lower inflation rate of 0.01 percent in March 2024. This was driven by air transportation fares, which experienced a deflation of 0.97 percent during this year's Ramadan. 'If we break it down, there were 20 provinces that experienced deflation in air transportation fares, while 17 provinces experienced inflation in air transportation fares, and 1 province remained stable,' he concluded."
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