Dubai's consumer prices drop 0.32% in August; down 3.69% YoY

Prices for housing, water, electricity, gas and fuel decreased by 0.77% in the emirate

  
People wearing protective face masks shop at Dubai mall after the UAE government eased a curfew and allowed stores to open, following the outbreak of the coronavirus disease (COVID-19) in Dubai, United Arab Emirates May 3, 2020. Image for illustrative purposes.

People wearing protective face masks shop at Dubai mall after the UAE government eased a curfew and allowed stores to open, following the outbreak of the coronavirus disease (COVID-19) in Dubai, United Arab Emirates May 3, 2020. Image for illustrative purposes.

REUTERS/Rula Rouhana

The general monthly index of consumer prices (CPI) in Dubai decreased by 0.32 percent in August, 2020 compared to July, 2020.

CPI is an important economic indicator measuring changes in prices over time paid by Dubai households for a fixed basket of goods and services.

Prices for housing, water, electricity, gas and fuel decreased by 0.77 percent in the emirate last month compared to July 2020, according to recent figures tweeted by the Dubai Statistics Centre.

Restaurant and hotel prices have decreased by 0.01 percent in August 2020 compared to the month before.

Meanwhile, food and beverage as well as tranportation prices increased by 0.25 percent and 0.74 percent respectively.

The statistics centre also revealed that CPI in Dubai decreased by 3.69 percent in August 2020 compared to the same period in 2019.

Housing, water, electricity, gas and fuel prices in Dubai were decreased by 5.72 percent compared to the same period last year.

The prices of transportation also saw a decline of 13 percent last month.

According to the statistics centre, prices of the entertainment and culture, clothing and footwear, and communication sectors were dropped by 15.08%, 1.42 percent, and 0.03 percent respectively.

On the other hand, food and beverages prices increased by 2.81 percent in Dubai. Prices in the healthcare sector also increased by 0.06 percent.

CPI is an important component in monitoring the levels of inflation in an economy. If there’s inflation when goods and services cost more the CPI will rise. If the CPI declines, that means there’s deflation, or a steady decrease in the prices of goods and services.

(Reporting by Seban Scaria; editing by Daniel Luiz)

(seban.scaria@refintiv.com)

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© ZAWYA 2020

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