JAKARTA, July 29 (Xinhua) -- Indonesian central bank forecast consumer price index to accelerate at a faster pace by 3.6 percent in July on yearly basis, from 3.49 percent in June, as some unprocessed food prices rose, top official said here on Friday.
The bank projected inflation at 0.74 percent this month, rising from 0.66 percent in the previous month, Agus Martowardojo said.
Martowardojo said that the increase of some unprocessed food prices contributed to the price's hikes, including onion and red chili.
"However, it seems that prices have been under control," he said at the bank headquarters.
The inflation by July was estimated at 1.8 percent, Martowardojo said.
The central bank targets 2016 inflation to stay between 3-5 percent.
The central bank aims to support the government's effort to spur GDP growth at 5 2 percent this year, faster than 4.79 last year.
The central bank had aggressively cut its benchmark by 100 basis points to 6.5 percent this year, but it refrained from trimming the basic rate this month on the prospect of a huge influx of assets repatriation as the lender needs to maintain the country's rupiah at its targeted range.
