GCC inflation rates in June range between 1.21% & 3.10%

August 20, 2014 10:57 am

Inflation rates across Gulf Cooperation Council (GCC) member states ranged between 1.21% and 3.10% through June 2014. The latest inflation figures issued by the Statistical Centre for the Cooperation Council for the Arab Countries of the Gulf (GCC-Stat) reveals that Bahrain topped the list among GCC countries, recording an inflation rate of 3.10% over a 6-month period ending in june 2014, followed by 2.87% in Kuwait, 2.80% in Qatar, 2.70% in Saudi Arabia, 2.21% in the United Arab Emirates and 1.21% in the Sultanate of Oman.

On a month-by-month basis, the rate of inflation recorded a monthly increase of 1.30% in Bahrain, 0.41% in UAE, 0.20% in both Kuwait and Saudi Arabia, while inflation rates witnessed a modest decrease of 0.10% in Qatar and 0.07% in the Sultanate of Oman by the end of June when compared against May 2014 figures.

Breaking down the underlying factors for the annual inflation rate increases in June 2014, when compared to the same period in 2013, the GCC-Stat figures reveal price increases across several different recording categories. In the Sultanate of Oman, furniture, household goods and routine household maintenance increased by 7.36%, while in Qatar and Bahrain, costs for housing, water, electricity, gas and other fuels increased by 7.40% and 5.60% respectively. Meanwhile, tobacco prices increased by 6.82% and 6.70% in Kuwait and Saudi Arabia respectively, while goods and services costs increased in the United Arab Emirates by 5.17%.

On the other hand, the GCC-Stat figures reveal a reduction in costs in several categories across the GCC member states. In Bahrain, costs for communication showed a 0.10% decrease, while the recorded costs for transportation in Saudi Arabia and the Sultanate Oman fell by 0.20% and 0.95 % respectively. Meanwhile, health costs in the United Arab Emirates and Kuwait decreased by 0.01% and 1.26% in the same order, while prices for food, beverages and tobacco decreased in Qatar by 0.60%.

General figures show an overall increase across GCC countries in the prices of housing, water, electricity, gas and other fuels through June 2014 where Qatar came first with 7.40%, followed by Bahrain with 5.60%, then 4.39% in Kuwait, 4.10% in Saudi Arabia, 2.43% in the United Arab Emirates, and 1.26% in the Sultanate of Oman.