FX.co ★ Malaysia Producer Prices Rise for 3rd Month

In February 2025, Malaysia experienced a 0.3% year-on-year increase in producer prices, which is a deceleration from the 0.8% rise observed in the previous month—the highest level of producer inflation recorded over a six-month period. This marks the third straight month of producer inflation, albeit at the most moderate rate within this timeframe. The slowdown is largely attributed to reduced inflation in the water supply sector, which declined to 2.9% from 7.6% in January, as well as in the agriculture, forestry, and fishing sectors, which decreased to 15.2% from 16.5%. Furthermore, there were declines in prices within manufacturing (-0.3% compared to -0.6% previously), mining (-9.7% following a -1.3% change), and electricity and gas supply (-0.2%, down from a 0.4% increase). On a month-on-month basis, producer prices saw a slight increase of 0.1%, easing from the 0.3% gain registered in January.