CPI Forecast for April 2009
The Department of Statistics will release the inflation rate for April tomorrow.
Today, Business Times polled an average of 3.27 as the expected inflation rate for April 2009.
It reported that the decline in fuel prices has started to kick-in and we should all be expecting lower prices in the months to come.
However, one will question what is the impact of the new fuel prices which will take place in September. RON97 will be at RM2.00 instead of RM1.80 and there will be a new addition to the RON family – RON95 selling at RM1.75
The impact is expected to be minimal as consumers are thought to likely switch to RON95, supposedly the same quality as RON97, but 5 cents cheaper.
Even if this is true, what will the impact be if crude oil prices continue to increase as in recent weeks. At the point of writing, crude is trading at USD60.05 on the NYMEX.
The inflation rate to me is more than just a number, it is also a deciding factor on how much I will need for my retirement and how much my kids need for their education.
Let’s see then what the actual number is tomorrow when Bank Negara releases it.
