KUALA LUMPUR, April 20 — The Consumer Price Index (CPI) for March 2023 eased to 3.4 per cent with the index point recorded at 129.9 against 125.6 in the same month of the previous year.
Chief statistician Malaysia Datuk Seri Mohd Uzir Mahidin said the slower inflation was mainly driven by the decrease in the price of unleaded petrol RON97, which eased the inflation of the Transport group to 2.4 per cent.
“This was in line with the downward trend of Brent crude oil price, which was at US$78.53 per barrel during March 2023 from US$115.59 in March 2022,” he said in a statement today.
Nevertheless, he said inflation for Food & Non-Alcoholic Beverages (6.9 per cent) and Restaurants & Hotels (7.2 per cent) remained high even though it was lower than in February 2023.
The weight for the Food & Non-Alcoholic Beverages group (29.5 per cent); Transport (14.6 per cent) and Restaurants & Hotels (2.9 per cent) comprise 47.0 per cent of the total weight for CPI which have a significant impact on the inflation rate and the cost of living.
Apart from that, the increase in Malaysia’s inflation in March 2023 was also due to Furnishings, Household Equipment & Routine Household Maintenance (3.1 per cent); Health (2.2 per cent) and Miscellaneous Goods & Services (2.1 per cent).
“This was followed by Recreation Services & Culture (1.9 per cent); Education (1.7 per cent); Housing, Water, Electricity, Gas & Other Fuels (1.6 per cent); Alcoholic Beverages & Tobacco (0.6 per cent) and Clothing & Footwear (0.5 per cent).
“Meanwhile, the Communication group recorded negative 1.4 per cent,” he said.
Mohd Uzir said Food & Non-Alcoholic Beverages group which contributes 29.5 per cent of total CPI recorded a moderate increase of 6.9 per cent from seven per cent in February 2023.
He also revealed that out of 230 items for Food & Beverages items, 201 items (87.4 per cent) recorded price increases compared to March 2022.
On another note, Mohd Uzir said the CPI for the first quarter of 2023 inclined 3.6 per cent compared to the same quarter of the preceding year. On a quarterly basis, CPI grew at 0.6 per cent, the same rate as recorded in the fourth quarter of 2022.
Core inflation which measures changes in the prices of all goods and services, excluding volatile prices of fresh food as well as administered prices of goods by the government, still registered a higher increase of 3.8 per cent from 3.9 per cent in February 2023.
“The increase was mainly due to the Food & Non-Alcoholic Beverages that recorded 7.5 per cent.
“In addition, the Restaurants & Hotels group also recorded an increase of 7.2 per cent, followed by Transport (5.7 per cent),” he said.
He said a monthly headline inflation in March 2023 increased marginally at 0.1 per cent compared to February 2023.
This was mainly contributed by Restaurants & Hotels (0.3 per cent), while Furnishings, Household Equipment & Routine Household Maintenance; Education and Miscellaneous Goods & Services increased by 0.2 per cent respectively.
In comparison to selected countries in the Asia Pacific region, Mohd Uzir said the inflation rate in Malaysia (3.4 per cent) was lower than the inflation in South Korea, Indonesia and the Philippines.
— Bernama
