January inflation up 3.5% from year ago but below forecast


  • Economy
  • Wednesday, 24 Feb 2016

Index for food & non-alcoholic beverages (weight: 30.2) rose 3.9% on a year-on-year basis in January 2016.

KUALA LUMPUR: Malaysia’s inflation rate, as measured by the Consumer Price Index (CPI) rose 3.5% from a year ago due to increases in all 12 major groups.

However, the CPI was below economists’ forecast of a 3.7% increase.

The Statistics Department said on Wednesday the CPI was slightly lower by 0.3% from December 2015.

On the 3.5% increase in the CPI for January, it said among the major groups which recorded increases were the index for alcoholic beverages & tobacco group by 22.6%; miscellaneous goods and services (+5.5%); and health (+4.6%); 

The index for food & non-alcoholic beverages (weight: 30.2) rose 3.9% on a year-on-year basis in January 2016.

The index for non-Food (weight: 69.8) recorded an increase of 3.4%.

The department said the core inflation also rose 3.6% in January from a year ago.

“Core inflation differs from overall CPI (headline CPI) in that it is calculated by excluding prices for goods and services that are subject to fluctuations which considered transitory in nature and do not have a lasting impact on the underlying trend in inflation. 

“These include nine of the CPI's most volatile items of fresh food, as well as administered prices of goods and services. Core inflation measures are used as operational guides for monetary policy in assessing the direction of inflation,” it said.

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 1
Cxense type: free
User access status: 0
Subscribe now to our Premium Plan for an ad-free and unlimited reading experience!
   

Next In Business News

Ringgit ends higher against US dollar amid forex market volatility
RHB Bank, Boost Holdings to subscribe shares in Boost Bhd for RM100mil
Comintel bags RM168.3mil construction contract
Uzma wins RM70mil LNG supply contract
Maybank IBG renews MoU with Cambodian regulator to develop country’s securities industry
Public Mutual declares more than RM147mil distributions for 10 funds
FBM KLCI dips 2.02 points on final trading day of 1Q
Southeast Asian finance leaders discuss containing global risks
NewParadigm wins Asia-pacific Restructuring Deal 2022
UK economy grows in Q4, avoids recession

Others Also Read