Govt monitoring inflation to avoid cost pressure on the people amid West Asia crisis, says deputy minister

Kota Bharu, on August 29th — The Malaysian government is keeping a close eye on inflation levels amid the ongoing developments in the West Asia crisis. Deputy Economy Minister, Datuk Seri Mohd Shahar Abdullah, emphasized the importance of monitoring to prevent cost pressures from supply disruptions and rising commodity prices from burdening the public. The crisis's rapidly changing situation can potentially affect global supply chains and commodity prices, making constant monitoring crucial for the government.

The Deputy Minister highlighted the government's efforts to ensure the country's supply of strategic commodities, particularly oil, remains adequate until the end of the year. This includes taking appropriate measures to mitigate the crisis's impact on the domestic economy. Presently, the primary goal is to guarantee the country's supply for the remainder of the year, and it is for this reason that the government continuously observes and monitors from various angles.

In addition to oil supply, the government is monitoring the movement of inflation in goods to prevent a blanket impact on the community. Mohd Shahar acknowledged that the potential outcome of the West Asian situation is uncertain, as developments in the conflict are difficult to predict. The government, therefore, remains prepared to handle various possibilities to ensure the economy remains resilient.

The government is not merely waiting for the crisis to subside but is constantly ready to face any outcomes. They are observing daily developments and engaging with the public through the Crisis Monitoring Dashboard, which provides detailed information on the situation. Mohd Shahar stressed that while the current economic performance has been better-than-expected, the government should not become complacent.

Instead, they must maintain monitoring and engagement with various stakeholders to address any external pressure promptly, without causing excessive impact on the people or the domestic economy.