Malaysia’s Inflation Update
May 2026
Malaysia’s headline inflation reached 2.0% in May 2026: the highest reading since mid-2024 and a continuation of the upward trend that began in mid-2025. The climb is being driven by services and transport, while food remains contained and clothing stays deflationary.
Source: Department of Statistics Malaysia (DOSM), Consumer Price Index May 2026
Data: data.gov.my
Trend
Malaysia: CPI Inflation (%), January 2024 – May 2026
After bottoming out at 1.1% in June 2025, inflation has climbed steadily for nearly a year. The May 2026 reading of 2.0% matches the peak last seen in May–June 2024.
By Component
Malaysia: CPI Inflation by Component (%), May 2026
Highest inflation:
Insurance & Financial Services: 4.9%
Personal Care & Miscellaneous: 4.8%
Transport: 3.8% (eased from 4.1% in April)
Moderate inflation:
Alcoholic Beverages & Tobacco: 2.8%
Restaurant & Accommodation: 2.5%
Education: 2.2%
Information & Communication: 2.1%
Low or negative:
Food & Beverages: 1.4%: Ticking up from 1.2% last month
Housing & Utilities: 1.2%
Health: 1.2%
Recreation, Sport & Culture: 1.1%
Furniture & Household: 0.4%,
Clothing & Footwear: -0.1%: Still the only deflationary category
By State
The state-level picture is largely unchanged from April, with a few shifts:
Pahang remains the highest in Peninsular Malaysia at 2.8%
Kelantan remains the lowest in Peninsular at 0.8%
W.P. Labuan leads nationally at 2.6%, down from 2.7% in April
Sarawak remains the lowest overall at 0.5%, up slightly from 0.4%
Sabah holds at 2.0%
The Peninsular vs East Malaysia divide persists, Sarawak continues to record inflation well below the national average, while Sabah and Labuan track closer to Peninsular levels.
Updated monthly. Data sourced from DOSM. Visualisations by Zahier Nasrudin | myvizard.com
