Kuala lumpur: Malaysia’s inflation rose at a slower pace of 1.1 percent in June 2025, with the index standing at 134.5 points compared to 133.0 in the same month last year, according to the Department of Statistics Malaysia (DoSM).

According to BERNAMA News Agency, DoSM’s June 2025 consumer price index (CPI) release indicated that moderation was also reflected in the Producer Price Index (PPI) for local production, which declined by 3.6 percent in May 2025. Chief statistician, Datuk Seri Dr Mohd Uzir Mahidin, reported that 59.2 percent of items, or 339 out of 573, recorded price increases. Of this total, 329 items (97.1 percent) recorded an increase of less than or equal to 10 percent, while only 10 items posted increases exceeding 10 percent in June 2025. The remaining 192 items (33.5 percent) recorded a decline, and 42 items remained unchanged.

DoSM stated the food and beverages group, contributing 29.8 percent to the total CPI, rose 2.1 percent in June 2025. The food away from home subgroup recorded a higher increase of 4.7 percent, compared to 4.4 percent in the previous month. However, the food at home category declined by 0.4 percent, partially offsetting overall inflation.

DoSM also noted that several groups posted the same rate of increase as the previous month: education (2.2 percent), housing, water, electricity, gas and other fuels (1.7 percent), and insurance and financial services (1.5 percent). Meanwhile, restaurant and accommodation services rose at a slower rate of 2.8 percent in June 2025 (May 2025: 3.0 percent); recreation, sport and culture at 0.8 percent (May 2025: 0.9 percent); transport at 0.3 percent (May 2025: 0.7 percent); and furnishings, household equipment and routine household maintenance at 0.1 percent (May 2025: 0.2 percent).

However, some groups recorded higher increases compared to May 2025, namely personal care, social protection and miscellaneous goods and services at 4.2 percent (May 2025: 3.7 percent), and health at 1.2 percent (May 2025: 1.1 percent). Additionally, the information and communication as well as clothing and footwear groups remained in negative territory, registering -5.4 percent and -0.3 percent, respectively.

Mohd Uzir added that, at the state level, 10 states recorded increases below the national inflation rate of 1.1 percent, with Kelantan posting the lowest increase at 0.2 percent in June 2025. However, five states recorded inflation above the national rate: Negeri Sembilan (1.6 percent), Selangor (1.6 percent), Johor (1.5 percent), Melaka (1.3 percent), and Kuala Lumpur (1.2 percent). All states recorded an increase in food and beverage inflation, except Kelantan (-0.1 percent). The highest was in Negeri Sembilan at 3.3 percent, followed by Selangor (3.1 percent), Putrajaya (2.9 percent), Terengganu (2.6 percent), Johor (2.2 percent) and Labuan (2.1 percent).

For the second quarter of 2025, Mohd Uzir said the inflation rate rose at a slower pace of 1.3 percent compared to the same quarter of the previous year (1Q 2025: 1.5 percent). He said monthly headline inflation increased by 0.1 percent in June 2025 compared to May 2025. Meanwhile, core inflation rose 1.8 percent in June 2025, unchanged from the previous month.