Fahmi slams reports on looming price increase

Communications and Digital Minister Fahmi Fadzil has refuted local media reports on an expected increase in the price of consumer goods come August.

He said the inflation rate had shown a downward trend, adding that some economic indicators this year were showing a better performance than the previous year.

"I saw reports from several media outlets today that in August, the price of goods will increase by 20%. How did they predict that, who did they consult? Are they Nujum Pak Belalang (clairvoyants) who know that come August, the prices will go up?" he said in Shah Alam last night.

Fahmi said the government's efforts had succeeded in lowering the inflation rate linked to the increase in the price of goods from 3.3% in April to 2.8% in May.

"Secondly, the first quarter of this year witnessed a robust economic growth of 5.6%, and this rate is vigorous compared to the rates in China, Singapore and Indonesia," he said.

He said that during the first three months of the year, due to political stability, the country had recorded approximately RM71 billion in foreign investments, more than the RM44 billion recorded during the same period last year.

He said the investments were expected to increase, including through a huge investment from the Saudi Arabian government.