Indonesia's March inflation accelerates to 6.38 pct on energy price hike

Indonesia's consumer price index ( CPI) accelerates at faster pace in March compared with that in February as the energy prices picked up.

The national statistic bureau announced on Wednesday that the annual growth of CPI in March reached 6.38 percent, rising from 6. 3 percent in February.

Head of the bureau Suryamin disclosed that the gasoline price, which led to the hike of transport cost, along with the sectors of communication and financial services, was the biggest contributor to the inflation.

"Gasoline has a contribution of 0.15 percent to the inflation. So the adjustment (of domestic fuel price) to the global oil price impacts on inflation," he told a press conference at the bureau headquarters.

Core inflation excluding volatile and administrative prices rose to 5.04 percent in March year on year, up from 4.96 percent in February, said Suryamin.

On month, he said that consumer prices saw a growth of 0.17 percent in March, compared to a 0.36 percent decline in the previous month.

The Indonesian central bank sets a target of 3 to 5 percent inflation this year.

The lender has kept its benchmark interest rate by 7.5 percent since it cut the rate 25 basis points in February. Endi