Headline inflation 2.28 yy vs 2.20 in poll
Core inflation 2.00 yy vs 2.08 in poll
Rice prices still rising on tight supplies

JAKARTA, Oct 2 Reuters Indonesia39;s annual inflation rate slowed to 2.28 in September, roughly in line with a market forecast, official data showed on Monday, near the lower end of the central bank39;s target range.

A Reuters poll of economists had expected a rate of 2.20 following August39;s inflation rate of 3.27. The September inflation rate was the lowest since February 2022.

Core inflation also eased to 2.00 from 2.18 a month before, compared with the poll39;s prediction of 2.08.

Inflation in Southeast Asia39;s largest economy peaked near 6 in September of 2022 after the government raised subsidised fuel prices. That bump last year left prices at a high base that contributed to the low reading for the month just ended.

To control inflationary pressures, the central bank raised interest rates by a total of 225 basis points between January and August.

Bank Indonesia39;s BI inflation target is a range of 2 to 4 for this year. The target will be lowered to 1.5 to 3.5 next year.

The sharp deceleration in Indonesia39;s September inflation was along expected lines and driven purely by base effects, said DBS Bank economist Radhika Rao.

The BI will take comfort from easing inflation, she said, although Rao expected no immediate policy easing due to the rupiah39;s weakness against the U.S. dollar.

Despite headline inflation staying within…