The impact of the global crisis which is currently still being felt by the majority of people in Indonesia includes the large number of layoffs (termination of employment) and the decline in productivity in the business world, resulting in a decline in demand for goods and services. The decline in fuel prices in December 2008, although it did not have much of an impact on the decline in prices of other goods and services, has contributed quite a lot in holding back the rate of inflation, where although some products experienced inflation, others experienced deflation so that the inflation that occurred was relatively low. low, namely 0.03 percent. Of the 66 cities where price developments were observed, 39 cities experienced inflation and 27 cities experienced deflation. The highest inflation occurred in Tarakan at 1.68 percent and the lowest deflation occurred in Ambon at 1.84 percent. Bandar Lampung inflation ranks 36th with inflation of 0.03 percent.
Inflation occurred due to an increase in prices as indicated by an increase in the index in the following groups of goods and services: foodstuffs group by 0.69 percent, ready-made food, beverages, cigarettes & tobacco group 1.22 percent, housing, water, electricity group , gas & fuel 0.20 percent, clothing group 1.91 percent and education, recreation and sports group 0.48 percent. The health services group and transportation group experienced deflation of 0.70 percent and 3.19 percent respectively.
Some commodities that contribute to inflation include red chilies, filtered kretek cigarettes, bottled water, wages for housemaids, mackerel, house contracts, rates for drinking water, gold jewellery, bricks and papaya. The inflation rate for Bandar Lampung City for the calendar year (January-December) 2008 and the "year on year" inflation rate (December 2008 to December 2007) was 14.82 percent. Meanwhile, nationally in December 2008 there was deflation of 0.04 percent, calendar inflation (January-December 2008) and "year on yeah," amounted to 11.06 percent.
