Malaysia’s Inflation Steady at 1.4% in April 2025, Remains Among Region’s Lowest
Malaysia’s inflation held firm at 1.4% year-on-year (YoY) in April 2025, matching the rate recorded in March and marking the lowest level since February 2021, according to the Department of Statistics Malaysia (DOSM).
The Consumer Price Index (CPI) stood at 134.3 points, up from 132.4 points a year earlier, with inflation mainly driven by non-food components such as personal care, education, and housing-related expenses.
📊 Key Inflation Drivers in April 2025
| CPI Component | April YoY Change | March YoY Change |
|---|---|---|
| Personal care, social protection & misc. services | 4.1% | 3.6% |
| Education | 2.3% | 2.2% |
| Housing, water, electricity & fuels | 2.0% | 1.9% |
| Food & beverages (overall) | 2.3% | 2.5% |
| Food at home | 0.5% | 0.6% |
| Food away from home | 4.3% | 4.5% |
| Recreation, sport & culture | 1.3% | 1.5% |
| Health | 0.9% | 1.0% |
| Transport | 0.7% | 0.7% |
Two categories remained in deflationary territory:
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Information & communication: -4.5%
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Clothing & footwear: -0.1%
“Inflation remained stable due to consistent price trends in key categories and was well below regional averages,” said Chief Statistician Datuk Seri Dr Mohd Uzir Mahidin.
🌍 How Malaysia Compares Globally
| Country | April 2025 Inflation Rate |
|---|---|
| Vietnam | 3.1% |
| Indonesia | 2.0% |
| Malaysia | 1.4% |
| Thailand | -0.2% |
| China | -0.1% |
Malaysia’s inflation rate remains moderate and controlled, reflecting its strong price stability framework and subsidy measures amid global uncertainty.
🗺️ State-Level Insights
🔼 Above National Average (1.4%)
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Johor: 2.2%
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Negeri Sembilan: 1.7%
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Selangor: 1.7%
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Melaka: 1.6%
🔽 Below National Average
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Kelantan & Putrajaya: 0.5% (lowest)
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Nine other states recorded increases below 1.4%
🍽️ Food & Beverages Inflation by State
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Negeri Sembilan: 3.3%
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Johor & Putrajaya: 3.0%
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Selangor: 2.9%
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National Average: 2.3%
🧾 What This Means for Consumers and Policymakers
Although overall inflation remains low, price pressure in food away from home, personal care, and housing continues to impact household budgets.
Key takeaways:
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Cost-of-living support may remain necessary in higher-inflation states like Johor and Negeri Sembilan
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Food inflation is easing slightly, but dining out continues to see strong price growth
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Sectors like ICT and apparel offer price relief due to deflationary pressures
🏦 Outlook: Controlled Inflation Amid Regional Headwinds
Malaysia’s inflation remains well-anchored, allowing Bank Negara Malaysia (BNM) to maintain a cautious stance on monetary policy. If the trend continues, it supports:
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Sustained consumer spending
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Stable interest rates
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A favourable economic recovery environment
As global energy and commodity markets stabilize and domestic supply chains improve, Malaysia’s inflation is expected to stay below 2% in the near term, barring external shocks.
Final Thoughts: Stable, But Watch Food and Services Costs
Malaysia’s 1.4% inflation rate in April 2025 underscores a strong inflation control framework despite global pressures. However, pockets of cost increases—especially in services and personal care—highlight the need for targeted support policies.
With regional peers facing higher or more volatile inflation, Malaysia continues to set an example of fiscal discipline and economic resilience in Southeast Asia.
