The department said the increase in the consumer price index (CPI) was driven by a higher increase in insurance and financial services, which went up 5.6% from 5.5% in July 2025.

“The growth was also influenced by personal care, social protection and miscellaneous goods and services, which stood at 4% from 3.9% in July; restaurant and accommodation services at 3.5% from 3.1%; and education at 2.4% from 2.2%.

“It also includes the rise of food and beverages at 2.0% from 1.9%; recreation, sport and culture at 0.9% from 0.8% and furnishings, household equipment and routine household maintenance groups at 0.2% from 0.1%,” it said.

The department said the inflation of food away from home remained at 4.3%, the same as in July, while food at home decreased -0.1% in August from -0.3% in July.

Chief statistician Uzir Mahidin said 342 out of 573 items in the CPI basket, or 59.7%, recorded price increases last month.

Of this total, 332 items, or 97.1% of the 342, registered an increase of less than or equal to 10%, while only 10 items recorded increases of more than 10%.

“The remaining 185 items (32.3%) showed a decline, and 46 items remained unchanged,” he said.

At the state level, Uzir said 10 states recorded increases below the national inflation rate of 1.3%, with Kelantan recording the lowest rate of 0.1%.

However, four states recorded increases above the national inflation level, namely Johor (2.%), Selangor (1.5%), Terengganu (1.5%) and Negeri Sembilan (1.4%).