Consumer Price Index

Overview

Malaysia’s inflation remained at 1.7 per cent in January 2025

 

Malaysia’s inflation remained at 1.7 per cent in January 2025 with the index points stood at 133.6 as against 131.4 in the same month of the previous year. The increase of inflation in January 2025 was driven by an increase in the main groups of Restaurant & Accommodation Services (3.5%); Personal Care, Social Protection & Miscellaneous Goods & Services (3.3%); Recreation, Sport & Culture (1.8%) and Education (1.6%). In addition, Health group (1.2%); Transport (0.9%); Alcoholic Beverages & Tobacco (0.9%); Insurance & Financial Services (0.6%) and Furnishings, Household Equipment & Routine Household Maintenance (0.5%) showed a higher increase as compared to December 2024.

 

Information & Communication decreased to negative 5.3 per cent in January 2025 (December 2024: -5.4%). Clothing & Footwear remained at a negative territory and posted negative 0.3 per cent (December 2024: -0.5%). Meanwhile, Housing, Water, Electricity, Gas & Other Fuels (3.2%) and Food & Beverages recorded a slower increase at 2.8 per cent and 2.5 per cent as against 3.2 per cent and 2.7 per cent respectively in the prior month.

 

Most of the states recorded inflation below the national inflation level of 1.7 per cent. However, inflation for four states were above the national inflation level namely Pulau Pinang (2.4%), Selangor (2.0%), Johor (1.9%) and Pahang (1.9%). All states registered an increase in the inflation of Food & Beverages. The highest rate was recorded by Selangor at 4.3 per cent, followed by Wilayah Persekutuan Putrajaya (3.5%), Terengganu (3.4%), Melaka (2.7%), Negeri Sembilan (2.7%) and Johor (2.6%). Meanwhile, other states showed an increase below the national inflation of Food & Beverages of 2.5 per cent in January 2025.

 

The overall monthly inflation for January 2025 increased 0.1 per cent as against December 2024. The increase was driven by the inflation in the main group of Restaurant & Accommodation Services (0.5%), Transport (0.4%), Health (0.3%), Education (0.2%) and Personal Care, Social Protection & Miscellaneous Goods & Services (0.2%). Meanwhile, core inflation increased at 1.8 per cent in January 2025 as compared to December 2024 (1.6%). The increase was due to Food & Beverages (4.0%) main group, Restaurant & Accommodation Services (3.5%) and Personal Care, Social Protection & Miscellaneous Goods & Services (3.3%).

In comparison to inflation in other selected countries, inflation in Malaysia (1.7%) was lower than inflation in Vietnam (3.6%), Philippines (2.9%) and Republic of Korea (2.2%). However, the rate was higher than Thailand (1.3%), Indonesia (0.8%) and China (0.5%).

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