KUALA LUMPUR: Malaysia’s inflation rate rose 2% in May, which was in line with economists’ forecast, due to rising costs for food including vegetables, fish and seafood.
The Statistics Department said on Wednesday that on a monthly basis, the Consumer Price Index for May increased by 0.3% from April.
For January to May, the inflation increased by 2.9% from the previous corresponding period.
The 2% increase in the CPI from a year ago was contributed by the 22.1% rise in alcoholic beverages and tobacco while food and non-alcoholic beverages saw a 4.1% increase.
In terms of weightage in the CPI, food and non-alcoholic beverages accounted for 30.2; alcoholic beverages and tobacco (2.9%).
The department explained the higher index for food and non-alcoholic beverages was due to increases in three food sub-groups namely, index for vegetables (+15.3%); fish and seafood (+6.6%) and fruits (+6.1%).
The index for non-food (weight: 69.8) recorded an increase of 1.1%.
On the higher May CPI versus April, the department said the 0.3% rise to 114.6 from 114.3 was due to increases in seven of the 12 major groups.
â€œAmong the main groups that recorded increases were housing, water, electricity, gas and other fuels (+0.5%); food & non-alcoholic beverages (+0.3%) and miscellaneous goods & services (+0.2%).
The department said core inflation, which excludes most volatile items of fresh food, as well as administered prices of goods and services rose 2.1% in May from a year ago.
Among the key factors contributing to a higher core rate were price increases for transport (+3.4%); food & non-alcoholic beverages (+2.7%); housing, water, electricity, gas & other fuels (+2.6%); restaurants & hotels (+2.5%) and miscellaneous goods & services (+2.5%).