KUALA LUMPUR (Dec 22): Malaysia’s inflation picked up slightly in November, driven by increases in the costs of education, alcoholic drinks and tobacco as well as that of transport, data on Monday (Dec 22) showed.

The consumer price index, Malaysia’s main gauge of inflation, rose 1.4% in November when compared to the same month last year, according to the Department of Statistics Malaysia. That compares to the median 1.5% rise predicted in a Bloomberg poll and October’s 1.3% year-on-year increase.

Inflation has remained under 2% for more than two years, providing comfort to policymakers to focus on preserving growth. Bank Negara Malaysia expects headline inflation to remain within the 1.5%-to-2.3% range for the full year, according to the latest guidance.

Food and beverages, which accounted for nearly 30% of the index’ weight, rose at a steady pace of 1.5% in November. A subgroup of food away from home recorded a slower increase of 2.8% against 2.9% in October while food at home was marginally higher at 0.1%.

The education index was up 2.6% in November, mainly due to a spike in preschool expenses. The alcoholic beverages and tobacco group accelerated 2.4% following an increase in the excise duties for cigarettes by two sen per stick that took effect in November.

Transport, which includes public transport and the purchase of vehicles, rebounded 0.2% in November from a contraction in October. Insurance and financial services rose 5.6%, the same pace as in October.

Core inflation — which strips out volatile food and fuel prices as a measure of underlying demand — was unchanged at 2.2% in November.