KUALA LUMPUR, Oct 8 (Bernama) – The gap between Malaysia’s producer and consumer inflation suggests businesses are absorbing some of their rising costs, although consumers could face higher prices if these pressures persist, according to Bank Muamalat Malaysia Bhd.
Business : Cost Absorption Keeps Inflation Low But Price Pressures May Build In 2027 â Bank Muamalat
Inflation, Bank Muamalat, World Bank, consumer pr
BE Bernama 
Key points
- Its chief economist Dr Mohd Afzanizam Abdul Rashid said the bank expected inflation to rise to 2.2 per cent in 2027 from its projected 1.8 per cent for 2026 as businesses potentially pass on higher operating costs to consumers.
- He said consumer price index inflation of around 1.9 per cent indicated that businesses had yet to fully pass on higher raw material and fuel costs to their customers.
- Nevertheless, the World Bank projected headline inflation to rise modestly to two per cent in 2026, with subsidies limiting the pass-through of higher energy prices to households.
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- Bernama Business : Cost Absorption Keeps Inflation Low But Price Pressures May Build In 2027 â Bank Muamalat (this story)
