Overview

The Consumer Price Index (CPI) for June 2016 increased by 1.6 per cent to 114.8 compared with 113.0 in the same month last year. Among the major groups which recorded increases were the index for Alcoholic Beverages & Tobacco by 21.9 per cent; Food & Non-Alcoholic Beverages (+4.2 per cent); Housing, Water, Electricity, Gas & Other Fuels (+2.4 per cent); Miscellaneous Goods & Services (+2.3 per cent); Restaurants & Hotels (+2.2 per cent) and Education (+2.1 per cent). In addition, the overall index is also influenced by the decrease in prices of Transport group by 8.5 per cent; Communication (-2.2 per cent) and Clothing & Footwear (-0.6 per cent).

The index for Food & Non-Alcoholic Beverages (weight: 30.2) rose 4.2 per cent on a year-on-year basis in June 2016. The increase was led by increases in three food sub-groups namely, index for Vegetables (+12.5 per cent); Fish & Seafood (+7.8 per cent) and Fruits (+5.6 per cent). Meanwhile, the index for Non-Food (weight: 69.8) recorded an increase of 0.4 per cent (Chart 1 and Table 1).

On a monthly basis, CPI for June 2016 increased 0.2 per cent to 114.8 from 114.6. CPI for the period January to June 2016 registered an increase of 2.7 per cent as compared to the same period last year.

Monthly Changes for CPI

When compared with the previous month, CPI for June 2016 increased 0.2 per cent to 114.8 from 114.6. Of the twelve major groups, four recorded increases, two registered a decline while six remained unchanged. Four main groups that recorded increases were Food & Non-Alcoholic Beverages (+0.5 per cent); Health (+0.4 per cent); Furnishings, Household Equipment & Routine Household Maintenance (+0.1 per cent) and Education (+0.1 per cent).

Based on a seasonally adjusted term, the CPI for June 2016 increased by 0.2 per cent as compared to May 2016 (Table 1).

Table 1 : Consumer Price Index for Main Groups, Malaysia (2010=100)

The increase of 0.5 per cent in the index for Food & Non-Alcoholic Beverages in June 2016 compared with the previous month was due to the result of an increase in the index for Food At Home by 0.8 per cent and Food Away From Home (+0.2 per cent) while index for Coffee, Tea, Cocoa & Non-Alcoholic Beverages decreased 0.1 per cent (Table 2).

Among the index of food items which recorded notable increases in June 2016 compared with the previous month were Tomatoes (+13.8 per cent); Carrot (+6.6 per cent); Cuttlefish (+6.3 per cent); Chicken (+4.9 per cent); Indian Mackerel (Fish) (+4.2 per cent); Dried Chilly (+3.5 per cent); Spanish Mackerel (Fish) (+2.9 per cent) and Hen's Egg (+2.7 per cent).

Meanwhile, decreases were registered in the index of some food items such as Choy Sam (-9.2 per cent); Long Beans (-8.5 per cent); Spinach (-4.6 per cent); Cucumber (-4.4 per cent); Watermelon (-3.1 per cent) and Round Cabbage (-2.3 per cent).

Table 2 : Consumer Price Index for Sub-Groups of Food and Non-Alcoholic Beverages, Malaysia (2010=100)

CPI changes for the period January - June 2016 / 2015

CPI for the period January to June 2016 registered an increase of 2.7 per cent as compared to the same period last year. The increase was led by increases in the main groups with high expenditure percentages: Food & Non-Alcoholic Beverages (+4.3 per cent) and Housing, Water, Electricity, Gas & Other Fuels (+2.7 per cent). Other increases were Alcoholic Beverages & Tobacco (+21.9 per cent); Miscellaneous Goods & Services (+3.9 per cent); Restaurants & Hotels (+3.5 per cent); Furnishing, Household Equipment & Routine Household Maintenance (+3.3 per cent) and Health (+3.3 per cent) [Table 1].

The increase of 4.3 per cent in the index for Food & Non-Alcoholic Beverages was the result of increases for Food At Home (+4.7 per cent); Food Away From Home (+4.3 per cent) and Coffee, Tea, Cocoa & Non-Alcoholic Beverages (+1.9 per cent). Among the subgroups of Food At Home which showed significant increases during this period as shown in Table 2 were Vegetables (+10.2 per cent); Fish & Seafood (+7.6 per cent); Fruits (+6.3 per cent); Sugar, Jam, Honey, Chocolate & Confectionery (+2.7 per cent) and Meat (+2.5 per cent).

Core Inflation

Core inflation, which excludes most volatile items of fresh food, as well as administered prices of goods and services rose 2.1 per cent in June 2016 compared to the same period of the previous year (Table 3). Among factors contributing to a higher core rate were price increases for Transport (+3.3 per cent); Food & Non-Alcoholic Beverages (+2.6 per cent); Housing, Water, Electricity, Gas & Other Fuels (+2.5 per cent); Miscellaneous Goods & Services (+2.3 per cent) and Restaurants & Hotels (+2.2 per cent).

Table 3 : Headline CPI and Core Index by Main Groups, Malaysia (2010=100)

Released By:

THE OFFICE OF CHIEF STATISTICIAN MALAYSIA
DEPARTMENT OF STATISTICS, MALAYSIA
20 July 2016

Contact person:
Ho Mei Kei
Public Relation Officer
Corporate and User Services Division
Department of Statistics, Malaysia
Tel : +603-8885 7942
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Email : mkho[at]stats.gov.my

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