Malaysia's Inflation Rose Slower At 1.1 Pct In June 2025

 

KUALA LUMPUR, July 22 (Bernama) -- Malaysia’s inflation rose at a slower pace of 1.1 per cent in June 2025, with the index standing at 134.5 points compared to 133.0 in the same month last year, according to the Department of Statistics Malaysia (DoSM).

DoSM’s June 2025 consumer price index (CPI) release stated, moderation was also reflected in the Producer Price Index (PPI) for local production, which declined by 3.6 per cent in May 2025.

Chief statistician, Datuk Seri Dr Mohd Uzir Mahidin, said 59.2 per cent of items, or 339 out of 573, recorded price increases.

“Nonetheless, of this total, 329 items (97.1 per cent) recorded an increase of less than or equal to 10 per cent, while only 10 items posted increases exceeding 10 per cent in June 2025.

“The remaining 192 items (33.5 per cent) recorded a decline, and 42 items remained unchanged,” he said.

DoSM said the food and beverages group, which contributes 29.8 per cent to the total CPI, rose 2.1 per cent in June 2025.

The food away from home subgroup recorded a higher increase of 4.7 per cent, compared to 4.4 per cent in the previous month.

However, the food at home category declined by 0.4 per cent, partially offsetting overall inflation, the department said.

DoSM also noted that several groups posted the same rate of increase as the previous month: education (2.2 per cent), housing, water, electricity, gas and other fuels (1.7 per cent), and insurance and financial services (1.5 per cent).

Meanwhile, restaurant and accommodation services rose at a slower rate of 2.8 per cent in June 2025 (May 2025: 3.0 per cent); recreation, sport and culture at 0.8 per cent (May 2025: 0.9 per cent); transport at 0.3 per cent (May 2025: 0.7 per cent); and furnishings, household equipment and routine household maintenance at 0.1 per cent (May 2025: 0.2 per cent).

However, some groups recorded higher increases compared to May 2025, namely personal care, social protection and miscellaneous goods and services at 4.2 per cent (May 2025: 3.7 per cent), and health at 1.2 per cent (May 2025: 1.1 per cent).

In addition, the information and communication as well as clothing and footwear groups remained in negative territory, registering -5.4 per cent and -0.3 per cent, respectively.

Mohd Uzir added that, at the state level, 10 states recorded increases below the national inflation rate of 1.1 per cent, with Kelantan posting the lowest increase at 0.2 per cent in June 2025.

“However, five states recorded inflation above the national rate—Negeri Sembilan (1.6 per cent), Selangor (1.6 per cent), Johor (1.5 per cent), Melaka (1.3 per cent), and Kuala Lumpur (1.2 per cent).

“All states recorded an increase in food and beverage inflation, except Kelantan (-0.1 per cent). The highest was in Negeri Sembilan at 3.3 per cent, followed by Selangor (3.1 per cent), Putrajaya (2.9 per cent), Terengganu (2.6 per cent), Johor (2.2 per cent) and Labuan (2.1 per cent),” he said.

For the second quarter of 2025, Mohd Uzir said the inflation rate rose at a slower pace of 1.3 per cent compared to the same quarter of the previous year (1Q 2025: 1.5 per cent).

He said monthly headline inflation increased by 0.1 per cent in June 2025 compared to May 2025.

Meanwhile, core inflation rose 1.8 per cent in June 2025, unchanged from the previous month.

-- BERNAMA