Headline inflation rises to 3.3pct in 2022, expected to moderate in 2023

Malaysia’s headline inflation increased to 3.3 percent in 2022 compared with 2.5 percent in 2021, while core inflation averaged higher at three percent from 0.7 percent in 2021, Bank Negara Malaysia (BNM) said.

For the fourth quarter (4Q), it said the country’s headline inflation moderated to 3.9 percent versus 4.5 percent in the third quarter of 2022, mainly due to the fading base effects in electricity inflation, a key contributor to the higher inflation in the third quarter of 2021.

“The moderating trend in key global commodity prices partly led to lower inflation in some consumer price index (CPI) items...