UAE: Consumer prices fall at milder rate in June
Consumer prices rose 0.33% over the previous month in June, picking up from May’s 0.09% increase. June’s reading was the sharpest increase in prices since August 2019.
Consumer prices fell 2.4% year-on-year in June, a less pronounced drop than May’s 2.7% decrease. The annual average variation of consumer prices fell to minus 1.9% in June (May: -1.8%).
Going forward, consumer prices are projected to remain in deflationary territory this year due to contracting household spending amid spiking unemployment. Additionally, low oil and gas prices will add further suppress inflationary pressures this year.