KUALA LUMPUR, Nov 13 — Headline inflation recorded a smaller negative at -1.4 per cent in the third quarter of 2020, mainly due to the higher domestic retail fuel prices in line with the recovery in global oil prices.
In a statement today, Bank Negara Malaysia (BNM) said core inflation moderated slightly to 1.0 per cent.
"Headline inflation is projected to average higher in 2021, primarily reflecting the higher projected global oil prices and the lapse in the impact from the tiered electricity tariff rebate in 2020," the central bank said.
Meanwhile, underlying inflation is expected to be subdued amid spare capacity in the economy.
BNM said the outlook for inflation trajectory would mainly depend on global oil and commodity price developments.
— Bernama
