July inflation up 3.3% on-year, exceeds forecast

KUALA LUMPUR: Malaysia’s inflation rate, measured by the Consumer Price Index (CPI), rose 3.3% in July from a year ago, exceeding a survey of an increase of 2.9%.

Consumer prices increased more than expected in July as the effects of a consumption tax implemented on April 1 continued to have an impact.

The Statistics Department said the rise in the CPI was due to increases in alcoholic beverages & tobacco group by 13.3%; health by 4.8%; miscellaneous goods and services (+4.7%).

Overall, the index for food & non-alcoholic beverages (weight: 30.3) rose 3.8% on a on-year basis in July 2015. The index for non-food (weight: 69.7) recorded an increase of 3.0%. 

The CPI for July increased 0.8% on a month-on-month basis. 

For January to July, the CPI increased by 1.7% from the previous corresponding period.