Malaysia: Inflation moderates in April
May 17, 2017
According to the National Statistical Institute, consumer prices fell by 0.25% in April (March: -0.08 month-on-month), which marked the largest decrease since September 2016. The monthly drop reflected much lower prices for transport—the category that carries the third largest weight in the consumer price index. Price increases in most other categories were not enough to prevent April’s contraction.
As a result of the month-on-month drop, inflation in April came in at 4.4%, which was significantly below March’s 5.1% gain and undershot market expectations of a 4.5% reading. Meanwhile, annual average inflation edged up to 2.5% in April from 2.3% in March.
Author: Luis Lopez Vivas, Economist