UAE August inflation rises to 4.9%, highest since February 2009

The United Arab Emirates National Bureau of Statistics released the following August consumer price data, showing inflation at its highest level since February 2009.

UAE consumer inflation rose 4.9 per cent year-on year in August while it rose 0.9 per cent month-on-month.

Housing and utility costs, which account for over 39 per cent of consumer expenses, jumped 9.9 per cent from a year earlier in August and rose 0.1 per cent from the previous month. Abu Dhabi, the biggest emirate in the UAE, hiked electricity and water tariffs from Jan. 1.

Food and soft drink prices, which account for nearly 14 percent of the basket, rose 0.6 per cent year-on-year and fell 0.5 per cent month-on-month.

Transportation prices jumped 10.7 per cent year-on-year and 10.6 per cent month-on-month in August after the UAE switched from fixed fuel prices to a formula based on global oil price.