Malaysia: Inflation drops to over-five-year low in February
March 20, 2015
Consumer prices declined 0.6% in February over the previous month, which marked a less-pronounced drop than the 1.1% fall tallied in January. As in the previous month, February’s result was mainly driven by a sharp fall in prices for transport. Prices for food and non-alcoholic beverages as well as for non-durable goods also dropped compared to the previous month. Conversely, prices for housing and healthcare were higher than in January.
Annual inflation dropped from 1.0% in January to 0.1% in February, which marked an over-five-year low. The result slightly undershot the 0.2% that the market had expected. As a result of February’s sharp slowdown, annual average inflation edged down from January’s 2.9% to 2.7% in February.
Author: Cecilia Simkievich, Economist