The prices of consumer goods and services in the GCC countries increased by 0.3% over the 12 months to April 2019

Issue date: 25 June 2019

 

The prices of consumer goods and services (excluding housing)[1] in the Gulf Cooperation Council countries increased by 0.3% Over the 12 months to April 2019, according to figures released today by GCC-Stat, the Statistical Center for the Cooperation Council of the Arab Countries of the Gulf.[2]

The biggest increases were for Tobacco 2.5%, Restaurant & Hotels 2.0%, Education 1.7%, Furnishings 1.1%, Recreation 0.7%, Health 0.5% and Food 0.3%. In contrast, Clothing and Footwear decreased by -1.6%, Miscellaneous -1.0%, Communication -0.6%, and Transport-0.4%.

In terms of contributions, Restaurant & Hotels group contributed 0.2 percentage points, Food, Furnishings and Education contributed 0.1 percentage points each. In contrast, Clothing and Footwear, Transport and Miscellaneous contributed -0.1 percentage points each, while the rest of the groups did not record any contribution this month.

In terms of contributions to overall GCC consumer price change Over the 12 months to April 2019 Saudi Arabia and Kuwait contributed 0.1 percentage points each, Oman and Qatar contributed 0.03 percentage points each. In contrast UAE contributed -0.03 percentage points, while Bahrain did not record any contribution this month.

GCC overall consumer price have increased slightly in April 2019 compared with the previous month by 0.2%. The most significant price increases during April 2019 were in Transport by 1.9%, Recreation 1.8%, Restaurant & Hotels 0.5%, Health 0.3%, Furnishings 0.2%, and Education 0.1%. In contrast, Clothing and Footwear prices decreased by -1.9%, Miscellaneous -0.9%, Food -0.2%, and Communications -0.1%, while the Tobacco did not record any changes this month.

 

	Table 1. Aggregate GCC inflation
			Index points, 2007=100				Change, Percent
Main Groups		Weights Per cent	April 2018	March 2019	April 2019		April 2019/         March 2019	April 2019/          April  2018
Food and beverage		24.0%	148.3	148.9	148.7		-0.2	0.3
Tobacco		0.7%	278.4	285.4	285.4		0.0	2.5
Clothing and footwear		7.5%	109.3	109.7	107.6		-1.9	-1.6
Furnishings, household equipment		10.5%	134.8	136.0	136.2		0.2	1.1
Health		2.7%	120.1	120.4	120.7		0.3	0.5
Transport		16.8%	135.6	132.5	135.0		1.9	-0.4
Communication		9.5%	95.1	94.6	94.5		-0.1	-0.6
Recreation and culture		5.2%	114.8	113.6	115.6		1.8	0.7
Education		7.4%	155.5	158.0	158.2		0.1	1.7
Restaurants and hotels		7.5%	144.1	146.4	147.1		0.5	2.0
Miscellaneous		8.3%	137.4	137.3	136.1		-0.9	-1.0
All Groups Excluding Housing		100.0	134.5	134.5	134.8		0.2	0.3

GCC CONSUMER PRICE CHANGE, APRIL 2019

 

 

 

KEY POINTS: April 2018 to April 2019

 THE GCC ALL GROUPS EXCLUDING HOUSING

• The prices of consumer goods and services (excluding housing) in the Gulf Cooperation Council countries was increased by 0.3% Over the 12 months to April 2019.
• The most significant price increases over the twelve months were for Tobacco5%, Restaurant & Hotels 2.0%, Education 1.7%, Furnishings 1.1%, Recreation 0.7%, Health 0.5% and Food 0.3%. In contrast, Clothing and Footwear decreased by -1.6%, Miscellaneous -1.0%, Communication -0.6%, and Transport-0.4%.

 

 CONTRIBUTIONS TO PRICE CHANGE OVER THE 12 MONTHS

• The most significant contributors to the GCC Inflation(excluding housing) were:
  • Restaurant & Hotels group contributed 0.2 percentage points.
  • Food, Furnishings and Education contributed 0.1 percentage points each.
  • Clothing and Footwear, Transport and Miscellaneous contributed -0.1 percentage points each.
  • While the rest of the groups did not record any contribution this month.

 

• At the country level:
  • Saudi Arabia and Kuwait contributed 1 percentage points each.
  • Oman and Qatar contributed 03 percentage points each.
  • UAE contributed -0.03 percentage points.
  • While Bahrain did not record any contribution this month.

 

KEY POINTS: March 2019 to April 2019

THE GCC ALL GROUPS EXCLUDING HOUSING

• GCC consumer price have increased slightly by 0.2% in April 2019 compared with the previous month.

OVERVIEW OF CPI MOVEMENTS IN April 2019

• The most significant price increases during April 2019 were in Transport by 1.9%, Recreation 1.8%, Restaurant & Hotels 0.5%, Health 0.3%, Furnishings 0.2%, and Education 0.1%. In contrast, Clothing and Footwear prices decreased by -1.9%, Miscellaneous -0.9%, Food -0.2%, and Communications -0.1%, while the Tobacco did not record any changes this month.

 

Further information and statistics are available from the GCC-Stat website: http://www.gccstat.org
For more details on the construction of the GCC index of consumer price change, see (https://www.gccstat.org/images/gccstat/docman/Standards/GCC_aggregate_inflation_-_methodology.pdf)

 

[1]  GCC-Stat compiles an aggregate inflation measure for the whole GCC region. This aggregate excludes the “Housing, water, electricity, gas and other related items” group from national indices, for which the data are deemed non-comparable due to methodological differences that significantly hinders cross-country comparisons. The national CPI data are weighted into a GCC aggregate using Purchasing power parity adjusted estimates of relevant national household consumption expenditures.

 

[2] The effect of January 2018 implementation of VAT in Saudi Arabia and UAE no longer impact the comparison over 12 months’ period, reducing the annual inflation from 4.3% (Dec 2018) to 0.0% (Jan 2019).