Kuwait inflation slows to 2.3%

  • Share via facebook
  • Tweet this
  • Bookmark and Share

Kuwait’s inflation eased to 2.3 percent year on year in January, down from 2.6 percent in 2012.

A review by the National Bank of Kuwait has cited a severe drop in food prices, as well as ‘clothing and footwear’ and ‘other goods and services’, as being vital to the slowdown, with the consumer price index (CPI) easing slightly from the 2.9 percent average for the previous year.

Core inflation, which excludes food and beverage, was 2.6 percent year on year in January.

Food prices were up one percent year on year in January – a big drop from 2.1 percent year on year in December. The slowdown pushed the overall year on year inflation rate down by 0.2 percentage points, with fruit and vegetable prices and meat, poultry and fish playing a major role.

Housing costs rose 2.4 percent year on year, and the transportation and communication segment stood at 2.9 percent year on year, up from 2.6 percent in December.

The report said that while inflation has started 2013 at a relatively subdued level, the bank expects “some modest upward pressure on prices as the year progresses, with inflation averaging 3.5 percent for the full year,” adding “the sources of inflationary pressures could be both international – such as higher food or import prices – and local – such as somewhat higher rents”.

Related:
Join the Discussion

Disclaimer:The view expressed here by our readers are not necessarily shared by Arabian Business, its employees, sponsors or its advertisers.

Please post responsibly. Commenter Rules

  • No comments yet, be the first!

Enter the words above: Enter the numbers you hear:

All comments are subject to approval before appearing

Further reading

Features & Analysis
Finance talk with RAKBANK

Finance talk with RAKBANK

StartUp sat down with RAKBANK’s head of personal banking, Ian...

Tips from the top: Hisham Al Gurg

Tips from the top: Hisham Al Gurg

High profile investor and entrepreneur Hisham Al Gurg discusses...

1
The hubsters' ecosystem

The hubsters' ecosystem

Tamara Pupic visits Impact Hub Dubai, the first local branch...

Most Discussed
  • 7
    UAE teens among the highest for obesity rates

    @MT3, harsh and callous as it may sound nice's analysis is spot on for expats; the impact on us is minimal. Certainly for the locals it is (rather it will... more

    Thursday, 28 August 2014 9:05 AM - Telcoguy
  • 7
    Smoke-free Dubai - the big debate

    Surprisingly the only studies that show a negative financial impact of the smoking ban on the hospitality industry are sponsored by tobacco companies ... more

    Wednesday, 27 August 2014 4:19 PM - Telcoguy
  • 2
    Dubai Sports City set to launch major retail expansion

    It has been almost 7 years since I had purchased a unit in DSC. The city is a ghost city and there is nothing there. Millions of Dollars were put into... more

    Wednesday, 27 August 2014 6:07 PM - saeed