00:00Economists say the low inflation rate recorded for the country last month may reflect subdued
00:07consumer demand which could threaten economic growth. On Tuesday, it was reported that Malaysia's
00:13inflation rate stood at 1.2% in May, down from 1.4% the previous month, driven by falling global
00:20oil prices. Ahmad Razman Abdul Latif of Pucha Business School said a low inflation rate might
00:26reflect weakening market demand, meaning that consumers are no longer spending as much as
00:31before. AMBank chief economist Firdaus Rosely said the low inflation rate contrasts with April's low
00:38unemployment rate of 3.0%, indicating that despite a tight labor market, consumers remain cautious and
00:45are spending less amid uncertainty. Sunway University economist Ye Kim Leng said a low inflation rate is
00:52positive if driven by declining supply costs, but concerning if caused by falling demand and reduced
00:58consumer spending. Ye said while a low inflation rate would help with the cost of living and give
01:03the government room to adjust its policies, the recent increases in global crude oil prices could
01:10push inflation up in the coming months. Barjoyaibardai of Malaysia University of Science and Technology
01:16said May's inflation data does not reflect recent geopolitical tensions. He warned that the Israel-Iran
01:23conflict could push food prices higher, with the real impact likely to be seen in June.
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