Prices of goods will generally increase following the implementation of the Goods and Services Tax (GST) on April 1, 2015, said the government’s Treasury Secretary-General today.
“Overall there will be a slight increase in prices if you put in on average,” said Tan Sri Dr Mohd Irwan Serigar Abdullah, who added that an increase in inflation is expected in Malaysia, as seen in the experience of other countries such as Singapore and Australia.
“There is a small spike (but) it would taper off within one year or so,” he told reporters following a townhall meeting between top officials and the media over the Auditor-General’s report which was tabled on Monday.
Mohd Irwan said that this expected price hike can only be curbed by a beefed up enforcement.
“This is the worry. We don’t want those speculators, retailers to take advantage of the situation and impose GST on certain goods that they are not supposed to. We want to prosecute them, bring them to court,” he said.