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Malaysia's inflation softens to 1.8pc as price pressures ease

Malaysia's consumer price inflation declined to 1.8 per cent in September, down from 1.9 per cent the previous month, as domestic price pressures moderated. The government is maintaining close watch on international cost developments that could affect the local economy.

LSN Malaysia · 30 October 2026

Malaysia's inflation softens to 1.8pc as price pressures ease

KUALA LUMPUR — Malaysia's inflation rate eased to 1.8 per cent in September compared with 1.9 per cent in August, reflecting a gradual cooling of price pressures across the economy.

The month-on-month decline suggests that inflationary momentum is stabilising despite persistent global economic uncertainties. Domestic demand has remained resilient, though the slowdown in price increases indicates that earlier supply chain disruptions and commodity price volatility are gradually subsiding.

Authorities are continuing to monitor international cost developments closely, particularly given the volatile nature of global energy markets and ongoing geopolitical tensions that could transmit to domestic prices. Policymakers have indicated they will remain vigilant in tracking inflation trends to ensure price stability for Malaysian households and businesses.

The softer inflation reading provides some relief to consumers and could influence policy considerations going forward, though officials have stressed that sustained monitoring of both domestic and external factors remains essential to maintain economic stability in the months ahead.