July 2011, Bandar Lampung City experienced inflation. The foodstuffs group makes the largest contribution to the formation of inflation in the city of Bandar Lampung. Then followed successively by the ready-made food, beverage, cigarette and tobacco groups; clothing group; health group; housing, water, electricity, gas and fuel groups; and educational, recreational, and sports groups. Meanwhile, only one group is holding back the rate of inflation, namely the transport, communications and financial services group. The increase in prices of various commodities in the six expenditure groups resulted in inflation in Bandar Lampung City of 0.82 percent.
In July 2011, six expenditure groups experienced an increase in the index which caused inflation, and only the transport, communication and financial services groups did not experience changes in the index. Inflation in Bandar Lampung City was ranked 27th out of 66 cities where price developments were observed. A total of 65 cities experienced inflation and only 1 city experienced deflation. The highest inflation occurred in Manokwari at 2.56 percent, while the lowest inflation was in Banjarmasin at 0.02 percent. Deflation occurred in Ambon at 1.20 percent.
Based on the calculation of the consumer price index (CPI), inflation occurred due to an increase in the index in the ready-made food, beverages, cigarettes and tobacco group, which rose 1.73 percent; food ingredients group rose 1.64 percent; clothing group rose 0.44 percent; health expenditure group rose 0.22 percent; the education, recreation and sports group rose 0.03 percent; and housing, water, electricity, gas, fuel rose 0.01 percent. The transport, communication and financial services groups did not experience changes in the index.
Several commodities that dominantly contribute to inflation include rice, filtered kretek cigarettes, kretek cigarettes, cobs, purebred chicken meat, purebred chicken eggs, spinach, gold jewelry, cooking flavorings, and shallots. Calendar year (point to point) inflation in July 2011 was 2.10 percent, while year on year (yoy) inflation in Bandar Lampung City was 7.79 percent.