Malaysia’s Feb inflation at 4.2% on year

KUALA LUMPUR (March 25): Malaysia’s inflation, as measured by the consumer price index (CPI), rose 4.2% in February from a year earlier. The CPI rose mainly on costlier liquor and food.

In a statement today, the Statistics Department said consumers had also contended with more expensive household items and healthcare services.

“The rise in the CPI was due to increases in all twelve major groups,” the department said.

Cumulative two-month CPI grew 3.8% from a year earlier. In month terms, February CPI was unchanged compared to the preceding month.

In January, the CPI rose 3.5% from a year earlier.

February core inflation also rose from a year earlier. The department said core inflation, which excluded volatile fresh food prices and administered prices of goods and services, rose 3.6%.

“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 (are) considered transitory in nature and do not have a lasting impact on the underlying trend in inflation.

“Core inflation measures are used as operational guides for monetary policy in assessing the direction of inflation,” the department said.