Ameer, who is the managing director of the Mydin retail chain, said sharp price hikes were unlikely because the ringgit had stabilised and that the trend was expected to strengthen further based on recent movements.

“Within the next two or three days, the US dollar value (of the ringgit) will fall from RM4.53 to RM4.54, so I can say that the price will not go up by 20% in August.

“I’m not sure as to whether the prices of all items will increase, but if they do, it will be 1% to 2%,” he said, adding that the increase in commodity prices depended on various factors such as inflation, supply and demand as well as the exchange rate of the ringgit.

Previously, Ameer and several economists had said that the consumer goods price index was likely to rise by up to 20% by October this year due to the increase in operational costs and import inflation.

The cost increase is said to be due to the depreciation of the ringgit against the US dollar, which leads to high import inflation.

Meanwhile, Ameer suggested that the government consider giving targeted subsidies through the provision of monthly cash aid to the B40 group.