Qatar’s inflation rate rose by 5.93% year-on-year in December 2022, largely due to an increase in the prices of recreation and culture, according to data from the Planning and Statistics Authority. The Consumer Price Index, a comprehensive measure of inflation, reached 108.20 points, showing the highest annual jump since September 2022. The PSA data also indicated that there was an annual price increase in seven categories, with the largest being a 25.36% surge in prices of recreation and culture.
Housing, water, electricity, and other fuel came next with an 11.90% rise, followed by restaurants and hotels by 10.08%, and food and beverages by 1.62%. The three other groups – education, transport, and furniture and household equipment – all witnessed a CPI increase of less than 1% year-on-year in December. The figures mean that Qatar has recorded the highest CPI among the region’s nations, and a Fitch ratings report published ahead of the FIFA World Cup anticipated the “inflationary pressures” of the event.
However, the level is below global levels, which averaged at 8.3% in 2022, with advanced economies standing at 6.6% and emerging markets and developing economies at 9.5%, according to the International Monetary Fund. Qatar’s annual inflation dropped in four groups, while one category remained still throughout the year. Communication, health, clothing and footwear, and miscellaneous goods and services all fell by less than 4%. Tobacco remained unchanged.
The country’s December CPI rate also showed a month-on-month increase of 1.24%, according to the PSA data. With regards to the monthly changes in CPI, Qatar saw an increase in six groups, a drop in two groups, while four groups remained unchanged. Recreation and Culture saw the largest month-on-month increase in prices, recording a 7.33% rise in December 2022. Prices of restaurants and hotels increased by 1.84%, transport increased by 1.22%, and miscellaneous goods and services by 0.51%. Communication price levels saw the largest drop of 2.03%, while clothing and footwear only fell by 0.42% month on month.
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