Malaysia's inflation recorded a slower increase of 2.5% in 2023 - DoSM


KUALA LUMPUR: Malaysia's inflation in 2023 recorded a slower increase of 2.5 per cent from 3.3 per cent in 2022 with the index points at 130.4 against 127.2 in the previous year, said the Department of Statistics (DoSM).

Chief statistician Datuk Seri Dr Mohd Uzir Mahidin said the slower increase of inflation in 2023 was in tandem with the decline in most global commodity prices, the easing of supply disruptions, price controls and the provision of subsidies for selected goods.

"Despite a decrease in energy commodity prices in 2023 (-29.9 per cent) as compared to 2022 (60.0 per cent), the price level of this commodity is still higher compared to pre-pandemic prices.

"The increase in fuel costs and dependence on imported liquefied natural gas (LNG) has prompted the government to adjust electricity tariffs under the implementation of the Imbalance Cost Pass-Through (ICPT) mechanism for users in Peninsular Malaysia for the period of July 1, 2023 to Dec 31, 2023,” he said in a statement today on the Analysis of Annual Consumer Price Index (CPI) 2023.

He said the inflation for the main groups in 2023 showed an increase except for communication (-3.0 per cent) with the highest increase recorded by restaurants and hotels at 5.6 per cent.

This was followed by the food and beverages (4.8 per cent) group; miscellaneous goods and services (2.4 per cent); furnishings, household equipment and routine household maintenance (2.3 per cent); health (2.2 per cent); education (1.9 per cent); housing, water, electricity, gas and other fuels (1.7 per cent); recreation services and culture (1.5 per cent); transport (1.1 per cent); alcoholic beverages and tobacco (0.6 per cent) and clothing and footwear (0.3 per cent).

Mohd Uzir said the food and beverages group which is the largest component of household spending in Malaysia with a contribution of 29.5 per cent of total CPI weight started to ease to 4.8 per cent compared to 5.8 per cent in the preceding year.

The slower increase of this group is largely due to an increase in the food at home component which increased 3.5 per cent compared to 5.3 per cent recorded in 2022.

Meanwhile, food away from home increased at 6.7 per cent in 2023 from 6.6 per cent in 2022.

Commenting on the inflation at the state level, Mohd Uzir said all states registered increases in inflation with five states showing an increase above the national inflation level of 2.5 per cent in 2023.

The highest increase was recorded by the Federal Territory of Putrajaya (3.4 per cent), followed by Sarawak (3.1 per cent), Selangor (2.9 per cent), Perak (2.8 per cent) and Pahang (2.6 per cent).

The Federal Territory of Labuan recorded the lowest inflation of 1.6 per cent, he added. - Bernama

Follow us on our official WhatsApp channel for breaking news alerts and key updates!

CPI , DoSM , Mohd Uzir Mahidin , Food and beverages

   

Next In Business News

South Korea's short-selling ban to stay through Q1 2025, regulator says
Asia stocks gain, bond yields fall on Fed outlook; Europe seen lower
Affluent Malaysians among top financial investors, eyeing increased investment
A force for good
Tex Cycle to buy Meridian World for RM55mil cash
Indie spirit
Helping hand for SMEs
Charting new territory
BHIC shares climb 23% after winning RM1.1bil defence contract
SC launches first practical guide on venture capital, private equity

Others Also Read