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Malaysia's Inflation To Edge Up To 1.8 Pct In 2026 -- RHB

22/12/2025 07:39 PM

KUALA LUMPUR, Dec 22 (Bernama) -- Malaysia's inflation is projected to edge higher to 1.8 per cent in 2026, near the upper end of the official 1.3-2.0 per cent range, said RHB Investment Bank Bhd (RHB IB).

In a research note, it said this reflects its positive outlook on domestic demand, underpinned by steady investment, resilient consumption, and expansionary fiscal measures. 

“Despite this modest increase, inflation is expected to remain manageable, below the long-term average of 2.0 per cent, supported by orderly policy implementation and the absence of excessive demand pressures.

“Softer global commodity prices should also help keep domestic costs moderate,” the investment bank said. 

It added that overall, the impact of announced and upcoming policy reforms on inflation is likely to be contained, supporting a steady monetary policy stance in the year ahead.

For 2025, RHB IB opined that inflation will likely average 1.4 per cent, near the lower end of the revised official projected range of 1.0–2.0 per cent.

Earlier today, the Department of Statistics Malaysia announced that Malaysia’s inflation rose 1.4 per cent year-on-year in November 2025, with the Consumer Price Index at 135.1 points compared with 133.3 in the year-ago period.

-- BERNAMA


 


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