Overview

SERVICES PRODUCER PRICE INDEX (2010=100) THIRD QUARTER 2017

The Services Producer Price Index (SPPI) is designed to measure the average changes  in the prices of services charged by the local services industry in Malaysia on a quarterly basis.

SPPI for the third quarter of 2017 registered an increase of 0.4 per cent compared to the previous quarter. The sub-sectors that contributed positively to the growth are led by Accommodation and Food & Beverage Service Activities (0.7%), Transportation and Education 0.4 per cent respectively, Real Estate Activities (0.2%) and Health (0.1%).

Year-on-year comparison for SPPI also showed an increase of 1.3 per cent. The following sub-sectors recorded positive growth namely Accommodation and Food & Beverage Service Activities (4.0%); Education (2.4%); Health (2.3%); Real Estate Activities (2.2%); Professional (0.9%); Transportation (0.2%) and Information & Communication (0.1%).

TRANSPORTATION

As compared to previous quarter, the SPPI for Transportation¹ increased by 0.4 per cent in the third quarter of 2017. The increase was contributed by the index of Passenger Air Transport  (1.1%) and Other Land Transport (0.1%).

The year-on-year comparison showed that the SPPI for Transportation registered an increase of 0.2 per cent, supported by Postal Activities (6.6%), Courier Activities (0.7%),  Passenger  Air Transport  (0.2%) and Other Land Transport (0.2%).

ACCOMMODATION & FOOD AND BEVERAGE SERVICE ACTIVITIES

The SPPI for Accommodation & Food and Beverage Service Activities² for the third quarter of 2017 rose 0.7 per cent as compared to the previous quarter.  The increase was driven by the Restaurants and Mobile Food Service Activities (0.8%), Beverage Serving Activities (0.8%), and Event Catering & other Food Service Activities (0.3%).

The year-on-year comparison also registered a growth of 4.0 per cent contributed by Restaurants and Mobile Food Service Activities (4.8%), Beverage Serving Activities (3.0%), Event Catering and other Food Service Activities (1.7%) and Short-term Accommodation Activities (1.2%).

INFORMATION AND COMMUNICATION

In the third quarter of 2017, the SPPI for Information & Communication³ was unchanged over the previous quarter. Meanwhile, compared to the third quarter of 2016, the SPPI for Information & Communication increased 0.1 per cent due to the 0.3 per cent incline in the index of Computer Programming, Consultancy & Related Activities.

REAL ESTATE ACTIVITIES

The SPPI for Real Estate Activities⁴ grew 0.2 per cent in the third quarter 2017 over the second quarter 2017 and 2.2 per cent for year-on-year basis. 

PROFESSIONAL

The SPPI for Professional⁵ for the third quarter of 2017 remained at 103.0 as compared to second quarter 2017. On the other hand, the year-on-year comparison showed that the index rose 0.9 per cent, driven by Architectural and Engineering Activities and Related Technical Consultancy (1.3%), Accounting, Bookkeeping & Auditing Activities; Tax Consultancy (0.5%) and Legal Activities (0.5%).

EDUCATION

As compared to the previous quarter, the SPPI for Education⁶ increased 0.4 per cent in the third quarter of 2017.  This was due to the increases in the index of Secondary Education (3.7%) and Higher Education (0.1%).

The year-on-year comparison showed that the SPPI for Education registered an increase of 2.4 per cent, supported by Secondary Education (6.1%), Higher Education (1.9%), Pre-Primary & Primary Education (1.9%) and Other Education (1.7%).

HEALTH

The SPPI for Health⁷ registered a growth of 0.1 per cent in the third quarter of 2017  compared to the previous quarter.  The growth was propelled by the increases in the index of Other Human Health Activities (0.3%), Medical & Dental Practice Activities (0.2%) and Hospital Activities (0.1%).

In the third quarter of 2017, the index also grew 2.3 per cent as compared to the third quarter of 2016. This increase was led by Other Human Health Activities (2.7%), Hospital Activities (2.6%) and Medical & Dental Practice Activities (2.0%).

ARTS, ENTERTAINMENT AND RECREATION

In the third quarter of 2017, The SPPI for Arts, Entertainment and Recreation⁸ decline 0.5 per cent as against the second quarter of 2017 due to the decrease in the index of Gambling and Betting Activities (-0.5%). 

As compared to corresponding quarter 2016, the SPPI for Arts, Entertainment and Recreation  also decreased by 2.0 per cent, due to the decline in the index of Gambling and Betting Activities (-2.4%).

*Notes:

¹ The industries covered are Freight Transport by Road; Transport of freight overseas and coastal waters, whether scheduled or not; Transport of passengers by air over regular routes and on regular schedules; Transport freight by air over regular routes and on regular schedules; Postal Activities; and Courier Activities other than National Post Activities.

² The industries covered are Hotels and Resort Hotels; Restaurants and Restaurant cum Night Clubs; Cafeteria/Canteens; Fast-food Restaurants; Food Stalls/Hawkers; Event catering; Event/Food Caterers; Pubs, Bars, Discotheques, Coffee-houses, Cocktail Lounges and Karaoke; and Coffee Shops
  
³ The industries covered are Wired Telecommunication Services; Internet Access Providers by the Operator of the Wired Infrastructure; Wireless Telecommunication Services; Internet Access Providers by the Operator of the Wireless Infrastructure; Computer Consultancy; Data Processing Activities; and Web Portals 
 
⁴ The industry covered is Activities of Real Estate Agents and Brokers for Buying, Selling and Renting of Real Estate

⁵ The industries covered are Legal Activities; Accounting, Bookkeeping and Auditing Activities; Tax Consultancy; and Engineering Services

⁶ The industries covered are Pre-primary Education (Private); Primary Education (Private); General School Secondary Education (Private); College and University Education (Private); Music and Dancing School; and Tuition Centre 

⁷ The industries covered are Hospital Activities; General Medical Services; Specialized Medical Services; Dental Services; Dialysis Centres; and Medical Laboratories

⁸ The industries covered are Gambling and Betting Activities; Equestrian Clubs; Golf Courses; Bowling Centre; Fitness Centres; Activities of Amusement Parks and Theme Parks; and Cyber Café/Internet Centre

Released By:

THE OFFICE OF CHIEF STATISTICIAN MALAYSIA
DEPARTMENT OF STATISTICS, MALAYSIA
13 November 2017

Contact person:
Ho Mei Kei
Public Relation Officer
Corporate and User Services Division
Department of Statistics, Malaysia
Tel : +603-8885 7942
Fax : +603-8888 9248
Email : mkho[at]stats.gov.my

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Baharudin Mohamad

Public Relation Officer

Email: baharudin[at]dosm.gov.my

Phone: 03 8885 7942

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