Money & tax · Bali

Bali inflation reaches 3.45% in August 2026

Statistics Bali (BPS) says annual inflation on the island hit 3.45% in August 2026. That sits just below the 3.5% upper limit of the target band.

News of Published in DOMA News: 2 min read

Key points

  • Bali's annual inflation was 3.45%, with 0.61% month on month
  • Denpasar saw the fastest rise at 3.64%
  • Petrol, chicken, cooking oil and gold led the increase

The island-wide numbers

BPS Bali, the provincial statistics office, reported that prices rose 3.45% year on year in August 2026. August alone added 0.61%.

By city, Denpasar posted 3.64%, Singaraja 3.61%, Tabanan 3.59% and Badung 2.88%. The release gives no separate figure for Gianyar or Ubud.

What got more expensive

Food, beverages and tobacco rose 3.70%, contributing 1.16 points to headline inflation. Transport climbed 6.98% and added 0.76 points.

Among individual items, petrol rose 7.92%, chicken 7.42% and cooking oil 9.10%. Gold jewellery jumped 43.36%.

The jump in gold reflects global metal prices more than local demand. Still, it added 0.15 points to the overall index.

The statisticians' view

BPS Bali head Agus Gede Hendrayana Hermawan said a level around 3.45% remains manageable as long as it stays under 5%. He urged local governments to focus on food supply itself rather than only on distribution channels.

With the upper edge of the target band at 3.5%, there is very little headroom left.

How Bali inflation is measured

BPS builds the consumer price index from a basket of goods and services in four cities: Denpasar, Singaraja, Tabanan and Badung. The Bali figure combines those cities.

Indonesia's inflation target for 2026 is 2.5% plus or minus 1 point. Moving above 3.5% would mean prices are rising faster than the government and central bank intend.

Transport was the fastest-rising group. Dearer petrol feeds not only into travel costs but also into deliveries of food and building materials around the island.

What it means for investors

Higher fuel and food prices feed quickly into a villa's operating costs, from staff wages to breakfasts and deliveries. Check whether your management company adjusts fees and maintenance budgets for inflation and how the management agreement handles it. Compare cost growth against your average nightly rate, not only against occupancy.

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Q&A

What was Bali's inflation in August 2026?

According to BPS Bali, 3.45% year on year and 0.61% month on month.

Source
ANTARA Bali, published September 2, 2026, language: Indonesian

Prepared by the DOMA editorial team from public reports, with the original source linked above. This is a news review, not legal or tax advice. Not a public offer.

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