Forecasting Inflation in Indonesia

Author/Editor:

Uma Ramakrishnan ; Athanasios Vamvakidis

Publication Date:

June 1, 2002

Electronic Access:

Free Download. Use the free Adobe Acrobat Reader to view this PDF file

Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary:

A reliable inflation-forecasting model is central for a sound monetary policy framework. In this paper, we study the domestic and international transmission effects on inflation in Indonesia and analyze the possible leading indicators of inflation. We identify the exchange rate, foreign inflation, and monetary growth as the main variables with a significant predictive power for inflation in Indonesia.

Series:

Working Paper No. 2002/111

Subject:

Consumer price indexes Consumer prices Exchange rate modelling Exchange rates Foreign exchange Inflation Monetary base Money Prices

English

Publication Date:

June 1, 2002

ISBN/ISSN:

9781451853483/1018-5941

Stock No:

WPIEA1112002

Pages:

23

Please address any questions about this title to publications@imf.org