Headline inflation for August hits 4.7% year-on-year

PETALING JAYA: Malaysia’s core inflation rate hit a new high of 3.8% year-on-year (y-o-y) in August on a weaker ringgit and elevated global commodity price environment as headline inflation for the month hit 4.7% y-o-y. “As domestic demand continued on strengthening, core inflation rate touched new peak point at plus 3.8% y-o-y in August.

“With this upbeat momentum, we believe BNM is very likely to raise the overnight policy rate by another 25 basis points in the last 2022 Monetary Policy Committee meeting in November,” MIDF Research said.