Malaysia’s March inflation slows to 1.4% on softer consumer prices

[KUALA LUMPUR] Malaysia’s inflation rate eased to 1.4 per cent in March 2025, slightly lower than the 1.5 per cent recorded in February, according to the Department of Statistics Malaysia (DOSM).

The Consumer Price Index (CPI) increased to 134.1 points in March, up from 132.2 points in the same month last year, Malaysia’s New Straits Times reported.

Chief Statistician Mohd Uzir Mahidin said the slower pace of inflation was driven by more modest increases in several major groups.

This includes personal care, social protection and miscellaneous goods and services, which rose 3.6 per cent in March, compared with 3.7 per cent in February.

This was followed by restaurants and accommodation services, which recorded a 2.9 per cent increase in March versus 3.5 per cent in February.

Housing, water, electricity, gas and other fuels rose 1.9 per cent, down from 2.3 per cent, while alcoholic beverages and tobacco climbed 0.8 per cent, slightly lower than the 0.9 per cent recorded in February.

BT in your inbox

Start and end each day with the latest news stories and analyses delivered straight to your inbox.

Sign Up

Sign Up

Furnishings, household equipment and routine household maintenance also increased marginally by 0.2 per cent, compared with 0.3 per cent previously.

Mohd Uzir noted that inflation in the education category rose 2.2 per cent, while recreation, sport and culture saw a 1.7 per cent increase, both higher than the figures recorded in February.

Meanwhile, food and beverages, insurance and financial services, health, and transport all increased at the same rate as the previous month, registering 2.5 per cent, 1.5 per cent, 1.0 per cent and 0.7 per cent respectively.

Information and communication, along with clothing and footwear, continued to remain in negative territory, with inflation rates of -5.4 per cent and -0.2 per cent respectively.

At the state level, 12 states recorded inflation rates below the national average of 1.4 per cent. Wilayah Persekutuan Labuan posted the lowest increase at 0.6 per cent in March.

In contrast, four states recorded inflation above the national average namely Johor at 2.1 per cent, followed by Selangor at 1.8 per cent, Negeri Sembilan at 1.7 per cent, and Melaka at 1.6 per cent.

When compared with selected countries in the region, Malaysia’s 1.4 per cent inflation was lower than Vietnam’s 3.1 per cent and the Philippines’ 1.8 per cent.

However, it was higher than the rates recorded in Indonesia (1.0 per cent), Thailand (0.8 per cent), and China, which registered a deflation of -0.1 per cent.