After experiencing deflation in October 2009 due to falling demand for most commodities, in November 2009 the city of Bandar Lampung experienced inflation again. The increase in prices for most commodities this month caused inflation in Bandar Lampung City of 0.24 percent. The group that contributed most to inflation was the housing group, mainly due to increases in house rental rates, house contracts and wages for housemaids.
Apart from the housing group, some commodities in the ready-made food, beverages, cigarettes and tobacco groups also experienced price increases. Several important commodities that have high consumption value, such as red chilies, green chilies, beef and purebred chicken, have not experienced significant price declines until November after experiencing quite high price increases in the previous few months. Inflation in the city of Bandar Lampung is ranked 21st out of 66 cities where price developments are observed. Overall, 40 cities experienced inflation and 26 cities experienced deflation. The highest inflation occurred in Manado at 1.27 percent. Meanwhile, the lowest inflation occurred in Singkawang with deflation of 1.41 percent.
Based on the calculation of the consumer price index (CPI), inflation occurred due to an increase in the index in five expenditure groups, namely processed food, drinks, cigarettes and tobacco by 1.11 percent, housing 0.94 percent, clothing 0.43 percent, health services 0.10 percent and the education, recreation and sports group at 1.20 percent. Meanwhile, the foodstuffs group experienced deflation of 1.05 percent. The transportation and communications group has relatively not experienced any changes.
Some of the dominant commodities that contribute to inflation include sweet bread, house rent, mackerel, color television, house contracts, onions, wages for housemaids, fried chicken, gold jewelry and kindergarten fees. Until November 2009, the inflation rate for Bandar Lampung City based on the calendar year was 4.45 percent and "year on year" inflation (November 2009 to November 2008) was 4.48 percent.
