The prices of consumer goods and services in the GCC countries increased by 0.5% over the 12 months to August 2019

Issue date: 15 October 2019

 

The prices of consumer goods and services (excluding housing)[1] in the Gulf Cooperation Council countries increased by 0.5% Over the 12 months to August 2019, according to figures released today by GCC-Stat, the Statistical Center for the Cooperation Council of the Arab Countries of the Gulf.

The biggest increases were for Recreation 5.3%, Tobacco 2.7%, Furnishings 1.1%, Miscellaneous 1.0%, Education 0.8%, Health 0.7%, Food and Restaurant & Hotels 0.5% each. In contrast, Clothing and Footwear and Transport group decreased by -1.1%, while the Communication group did not record any change this month.

In terms of contributions, Recreation group contributed 0.2 percentage points, Food, Furnishings, Education and Miscellaneous contributed 0.1 percentage points each. In contrast, Transport contributed -0.2 percentage points, Clothing and Footwear contributed -0.1 percentage points, 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 August 2019 Saudi Arabia contributed 0.41 percentage points, Kuwait contributed 0.18 percentage points, Oman and Bahrain 0.04 percentage points each, Qatar 0.03 percentage points. In contrast UAE contributed -0.24 percentage points.

GCC overall consumer price have increased slightly in August 2019 compared with the previous month by 0.5%. The most significant price increases during August 2019 were in Transport and Recreation by 0.9% each, Food 0.7%, Clothing and Footwear and Miscellaneous 0.3% each, Furnishings and Restaurant & Hotels 0.1% each, while the rest of groups did not record any changes this month.

 

GCC CONSUMER PRICE CHANGE, AUGUST 2019

	Table 1. Aggregate GCC inflation
			Index points, 2007=100				Change, Percent
Main Groups		Weights Per cent	August 2018	July 2019	August 2019		August 2019/          July 2019	August 2019/           August 2018
Food and beverage		24.0%	149.7	149.4	150.5		0.7	0.5
Tobacco		0.7%	288.4	296.4	296.3		0.0	2.7
Clothing and footwear		7.5%	109.8	108.4	108.6		0.3	-1.1
Furnishings, household equipment		10.5%	135.0	136.3	136.4		0.1	1.1
Health		2.7%	120.2	121.2	121.1		0.0	0.7
Transport		16.8%	139.6	136.8	138.1		0.9	-1.1
Communication		9.5%	94.6	94.6	94.6		0.0	0.0
Recreation and culture		5.2%	115.9	121.0	122.1		0.9	5.3
Education		7.4%	155.7	156.9	157.0		0.0	0.8
Restaurants and hotels		7.5%	151.0	151.7	151.8		0.1	0.5
Miscellaneous		8.3%	136.8	137.8	138.1		0.3	1.0
All Groups Excluding Housing		100.0	136.2	136.2	136.8		0.5	0.5

 

 

 

KEY POINTS: August 2018 to August 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 0.5% Over the 12 months to August 2019.
• The most significant price increases over the twelve months were for Recreation 5.3%, Tobacco7%, Furnishings 1.1%, Miscellaneous 1.0%, Education 0.8%, Health 0.7%, Food and Restaurant & Hotels 0.5% each. In contrast, Clothing and Footwear and Transport group decreased by -1.1%, while the Communication group did not record any change this month.

 

 CONTRIBUTIONS TO PRICE CHANGE OVER THE 12 MONTHS

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

 

• At the country level:
  • Saudi Arabia and Kuwait contributed 41, 0.18 percentage points respectively.
  • Bahrain and Oman contributed 04 percentage points each.
  • Qatar contributed 03 percentage points.
  • UAE contributed -0.24 percentage points.

 

KEY POINTS: July 2019 to August 2019

THE GCC ALL GROUPS EXCLUDING HOUSING

• GCC consumer price have increased slightly by 0.5% in August 2019 compared with the previous month.

OVERVIEW OF CPI MOVEMENTS IN August 2019

• The most significant price increases during August 2019 were in Transport and Recreation by 0.9% each, Food 0.7%, Clothing and Footwear and Miscellaneous 0.3% each, Furnishings and Restaurant & Hotels 0.1% each, while the rest of groups 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.