Inflation in UAE highest among GCC countries

Inflation rates across the GCC ranged between 1.02% and 3.11% in October 2014 compared to October 2013 with the UAE recording the highest inflation at 3.11 per cent, according to the report published by GCC-STAT.

The emirate was followed by 3.0% in both Kuwait and Qatar, 2.6% in Saudi Arabia, 2.5% in Bahrain, while Oman registered the lowest inflation rates of 1.02%.

When compared to the month of September 2014, the October 2014 inflation rates showed a slight increase of 0.2% in Saudi Arabia, 0.11% in the UAE, 0.1% in both Oman and Qatar, while prices in Bahrain and Kuwait remained stable.

Food and beverages prices also showed an increase over the 12-month period in most GCC member states, where prices for this group increased by 3.72% in the UAE, 3.5% in Saudi Arabia, 2.9% in Bahrain, 2.58% in Kuwait, and 1.04% in Oman.

Meanwhile, Qatar was the only GCC country where prices for food and beverages decreased in October 2014 by 0.6% when compared to October 2013.

No price drops in UAE in October

Pan-GCC figures showed that prices for housing, water, electricity, gas and other types of fuel witnessed the highest increase, with Qatar witnessing an increase of 8.2%, followed by 5.2% in Bahrain, 4.44% in Kuwait, 4.17% in the UAE, 2.8% in Saudi Arabia, and slight increase of 0.24% in Oman.

Transportation prices, however, showed an increase in all the GCC countries where it increased by 2.1% in Bahrain, 2.04% in Kuwait, 1.7% in Qatar, 1.5% in the UAE, 1.3% in Saudi Arabia, and 0.51% in Oman.

As for highest price growth within different groups of the general consumer price index in each GCC member state, figures showed an increase over the 12-month period through October 2014 as follows: Tobacco prices increased by 12.2% and 9.9% in Kuwait and Bahrain respectively, while the prices of recreation and culture went up by 8.2% in Saudi Arabia.

Meanwhile, the prices of housing, water, electricity, gas and other types of fuel recorded an increase of 8.2% in Qatar, while prices for furniture and household goods in Oman grew by 6.03%, and also for miscellaneous goods and services in the UAE which went up by 4.6% over the 12-month period.

On the other hand, statistics revealed the highest decreases within the different groups of the general consumer price index, figures showed a decrease in the clothing and footwear prices in Oman by 1.01%, while prices of communications in Kuwait and Saudi Arabia went down by 0.69% and 0.3% respectively. Tobacco, food and beverages in Qatar also dropped by 0.6%, while prices of furniture and household items in Bahrain decreased by 0.9% in the same period. In contrast, no drop in prices witnessed in the UAE through October 2014.

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