Malaysia: Study to review items in CPI basket of goods
KUALA LUMPUR: The Statistics Department is carrying out a study on income patterns and basic facilities, which are important elements in the review of the Consumer Price Index (CPI), which will be held next year on the country’s inflation rate, according to chief statistician Datuk Seri Mohd Uzir Mahidin.
Uzir said income pattern would have an impact on the relative propriety of an item or element in the CPI.
“From there we will also see whether the item is in the basket of goods and the weight of the item, whether to increase or decrease it.
“This is influenced by income and expenditure which are linked to each other,” he told a press briefing in conjunction with MyStats Dayto be held on Oct 20.
Malaysia’s inflation, as measured by the CPI, is projected to increase but will likely remain between 2.5% and 3.5% in 2022 compared with 2.5% in 2021.
Economists had suggested that the country’s CPI be reviewed since food prices had continued to rise and the CPI did not reflect the real cost of living.
However, the country’s CPI is reported to be lower than India, the United States, the United Kingdom and Singapore which are at 7.04%, 8.6%, 9.1% and 5.6% respectively.
According to the 2019 Household expenditure survey report, the Bottom 40 group has allocated more spending on food and beverage compared with the Middle 40 and the Top 20. — Bernama