Malaysia sees higher inflation

Inflation in Malaysia is expected to double this year to 2.5-3.0 percent but there is no need to raise interest rates, Malaysian economic planning minister Mustapa Mohamed said on Saturday. The inflation outlook is higher than the central bank's previously published outlook of 2.5 percent this year. Asked if Malaysia would consider raising interest rates, Mustapa told Reuters: "I don't think so. Inflation of 2 to 3 percent is very small." Mustapa also said the government might raise retail petrol prices if crude oil prices topped $60 a barrel.