UAE: Inflation accelerates in July

UAE Inflation

UAE: Inflation accelerates in July

Consumer prices fell 0.05% in July from the previous month, contrasting the 0.37% month-on-month increase observed in June.

The July reading was mainly driven by a fall in the price of housing, water, electricity and gas, which accounts for over a third of the Consumer Price Index. Prices of clothing and footwear, and furniture and household goods also recorded declines. On the other hand, price increases were observed for food and beverages, tobacco, transportation and recreation and culture, which partially offset the declines recorded in other categories.

Meanwhile, inflation shot up from 3.3% in June to 3.8% in July. Annual average increased from 2.7% in June to 2.9% in July.

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