KUALA LUMPUR, July 29 — The government will continue to advance and refine the development of official statistics to support more accurate and effective policymaking, including through the production of more granular indicators, said Deputy Economy Minister Datuk Mohd Shahar Abdullah.

He said the indicators will be disaggregated according to income, location and demographic groups to ensure that the policies and interventions are more targeted and effective in addressing the cost-of-living challenges. 

“The government believes that the official inflation rate is one of the key indicators in assessing price changes; however, it should be viewed together with other indicators to provide a more comprehensive view of the situation faced by households,” he told the Dewan Negara today.

He was responding to a question from Senator Azahar Hassan on the assessment of the gap between official inflation data and consumers’ actual experiences, as well as a proposal to develop a cost-of-living index based on income groups and regions.

Mohd Shahar said the government developed the Cost of Living Indicator in 2024, which measures the cost of living in greater detail based on data from the Household Income, Expenditure and Basic Amenities Survey and the Consumer Price Index, to ensure a more accurate depiction of household spending patterns.

To date, cost-of-living indicators, including the Basic Expenditure of Decent Living (PAKW) Index, Cost of Living and Average PAKW Index, are available down to the administrative district level.

Additionally, he said the government also uses various indicators, such as household income surveys, wage and salary statistics, and the Malaysian Well-being Index (MyWI), to provide a comprehensive picture of the people’s well-being. — Bernama