Rising inflation rate a global phenomenon - Mustapa

KUALA LUMPUR: The rising inflation rate is a global phenomenon, caused by supply chain disruptions and rising energy costs, said Minister in the Prime Minister's Department (Economy) Datuk Seri Mustapa Mohamed.

According to the Department of Statistics Malaysia (DOSM), Malaysia's inflation rate rose by 3.2 per cent to 124.5 in December 2021 from 120.6 in December 2020.

Mustapa said the government is aware that the rise in the inflation rate has affected the cost of living of Malaysian families, especially the low-income ones.

"Various initiatives are being implemented by the government in addressing the issue of inflation and rising prices of basic necessities to ease the burden of Malaysian Family members," he said in a statement today.

The initiatives include the allocation of RM31 billion in the form of subsidies under Budget 2022.

"This includes providing subsidies for the RON95 petrol and diesel as well as for cooking oil and flour, as well as the allocation of RM200 million to lower the prices of essential goods in the villages," he said.

The minister had also stressed that the government will always monitor the prices of goods, especially food items, and will take steps to avoid unreasonable increases in prices, thus easing the people's burden as a whole.

-- BERNAMA