Consumer Price Index and Inflation of Sorong Municipality 2021

The CPI is one of the important economic indicators that can provide information on the development of the prices of goods/services paid by consumers. Calculation of the CPI is intended to determine the price changes of a fixed group of goods/services that are generally consumed by the public. Changes in the CPI from time to time describe the rate of increase (inflation) or the rate of decline (deflation) of goods/services for daily household needs. The increase or decrease in the price of goods/services has a very close relationship with the purchasing power of people's money, especially those with fixed incomes. The rate of change in the CPI (inflation/deflation) that occurs automatically reflects the purchasing power of the money people use to meet their daily needs. The higher the inflation, the lower the value of money and the lower its purchasing power.