Xinhua, Kuala Lumpur :
Malaysia’s July consumer price index (CPI) rose 0.9 percent from a year earlier, official data showed Friday.
According to Malaysian Statistics Department, the increase in the overall index was mainly due to higher price for transport, which increased by 6.7 percent.
Meanwhile, housing, water, electricity, gas and other fuels grew 2 percent; education as well as restaurant and hotels also went up 1 percent respectively.
Food and non-alcoholic beverages, which accounted 29.5 percent in the CPI weights, rose 0.7 percent.
On a monthly basis, CPI increased 0.2 percent as compared to June.
For the period January to July, CPI rose 1.4 percent as compared to the same period last year.
In a note Friday, ANZ Research said it believed the moderation in inflation is transitory and will partly reverse when the Sales and Services Tax (SST) is reinstated in September.
“We see CPI inflation falling towards 0.2 percent year on year in August, but that could be the bottom for inflation. Nonetheless, for the full year, inflation is likely to be higher than our current forecast of 0.7 percent,” it added.
In June, Malaysia’s CPI dropped to a three-month low 0.8 percent as the country’s new government has zero rated the goods and services tax (GST) since June. The government will reintroduce SST in September.
Given low inflation, the softer-than-expected growth outcome in Q2 and policy uncertainties, ANZ Research expects Malaysian Central Bank to remain on hold for the rest of the year.
Malaysia’s July consumer price index (CPI) rose 0.9 percent from a year earlier, official data showed Friday.
According to Malaysian Statistics Department, the increase in the overall index was mainly due to higher price for transport, which increased by 6.7 percent.
Meanwhile, housing, water, electricity, gas and other fuels grew 2 percent; education as well as restaurant and hotels also went up 1 percent respectively.
Food and non-alcoholic beverages, which accounted 29.5 percent in the CPI weights, rose 0.7 percent.
On a monthly basis, CPI increased 0.2 percent as compared to June.
For the period January to July, CPI rose 1.4 percent as compared to the same period last year.
In a note Friday, ANZ Research said it believed the moderation in inflation is transitory and will partly reverse when the Sales and Services Tax (SST) is reinstated in September.
“We see CPI inflation falling towards 0.2 percent year on year in August, but that could be the bottom for inflation. Nonetheless, for the full year, inflation is likely to be higher than our current forecast of 0.7 percent,” it added.
In June, Malaysia’s CPI dropped to a three-month low 0.8 percent as the country’s new government has zero rated the goods and services tax (GST) since June. The government will reintroduce SST in September.
Given low inflation, the softer-than-expected growth outcome in Q2 and policy uncertainties, ANZ Research expects Malaysian Central Bank to remain on hold for the rest of the year.
