JAKARTA. The increase in cigarette excise rate will lead to 0.23% of inflation rate in the next year. Aside of the inflation, government claimed to have estimated the social impact of the excise rise, as well as its impact to cigarette industry. According to Minister of Finance Sri Mulyani, the objective for imposing excise is to control consumption. However, in the other side, government wants to prevent social turbulence and jump in inflation as the results of the increase in cigarette. Sri Mulyani added that, the government has included the inflation to 4% of 2017 assumption inflation. “We also have estimated the impact (of the excise rise) to people’s purchasing power”, said Sri Mulyani.
Cigarette excise rise leads to 0,23% of inflation
JAKARTA. The increase in cigarette excise rate will lead to 0.23% of inflation rate in the next year. Aside of the inflation, government claimed to have estimated the social impact of the excise rise, as well as its impact to cigarette industry. According to Minister of Finance Sri Mulyani, the objective for imposing excise is to control consumption. However, in the other side, government wants to prevent social turbulence and jump in inflation as the results of the increase in cigarette. Sri Mulyani added that, the government has included the inflation to 4% of 2017 assumption inflation. “We also have estimated the impact (of the excise rise) to people’s purchasing power”, said Sri Mulyani.