Department of Statistics of Malaysia (DOSM) had recently released the consumer price index (CPI) of Malaysia for December 2020. The index had decline by 1.4%, comparing to the same month of the previous year.
This index measures the inflation rate of Malaysia and a declining inflation, or deflation can be detriment to the economy.
As per the analysis from DOSM, the sector that contributes the most decline is transportation. Where transportation includes travel fares from taxis, buses and even air tickets. Given that people are prohibited from travelling during Movement Control Order (MCO), it is understandable that this sector had the worst decline.
What’s more surprising is miscellaneous goods and services, food and beverage were among those that the price had been increasing. Despite the pandemic and unemployment rates at all time high, food and beverage, the most basic bread and butter of life been increasing reasonably. This suggests that it had not been an easy time for Malaysians.
DOSM had even analysed the data according to states and all we can see is that it is rather consistent across the states of Malaysia. In the graph, prices of food and beverage is being used as the comparative with the overall CPI index.
Overall, we can see that the cost of living of Malaysians is steadily increasing and unemployment is still an issue caused by the pandemic.
Do you feel the pinch in year 2020? Comment below!