With food and beverages, transport and recreation becoming expensive, Qatar's cost of living, based on CPI (consumer price index), rose 1.16% month-on-month in August this year, according to official statistics.
The country, however, witnessed a 0.04% decline in inflation on yearly basis, according to figures released by the Planning and Statistics Authority (PSA).
The International Monetary Fund, in its latest Article IV consultation with Qatar, said inflation is projected to peak at 3.7% in 2020 with the introduction of a value added tax, but converge to 2% in the medium term.
The food and beverages segment, which has a weight of 12.58% in the CPI basket, witnessed a 1.58% and 1.91% expansion month-on-month and year-on-year in August this year.
Transport, which has a 14.59% weight, saw its group index surge 2.98% and 2.26% on monthly and yearly basis respectively this August. The sector has the direct linkage to the dismantling of administered prices in petrol and diesel, which have witnessed increases in the recent past as part of lessening the subsidies.
The index of recreation and culture, which has a 12.68% bearing on the CPI basket, soared 4.17% month-on-month, but on a yearly basis, it witnessed an 8.32% decline in August 2019.
Miscellaneous goods and services, which has a 5.69% weight, saw its index gain 1.11% and 4.38% on monthly and yearly basis respectively in August this year.
Education, with a 5.75% weight, saw its index rise 0.93% month-on-month and year-on-year in August 2019.
In the case of furniture and household equipment, with a 7.7% weight in the CPI basket, there was a 0.05% rise in its index on a monthly basis but saw a 0.07% fall compared with August 2018.
However, the index of clothing and footwear, which has a 5.11% weight in the CPI basket, tanked 1.6% on a monthly basis but saw a 1.91% increase year-on-year in August 2019.
The index of housing, water, electricity and other fuels – with a weight of 21.89% in the CPI basket – saw a 0.33% and 2.21% decline month-on-month and year-on-year respectively this August.
The CPI of August 2019 excluding housing, water, electricity, gas and other fuels showed an increase of 1.61% and 0.56% on monthly and yearly basis respectively.
The index of restaurants and hotels, which has a 6.08% weight, treaded a flat course month-on-month but witnessed a 1.27% gain year-on-year in August 20-19.
Communication, which carries a 5.87% weight, saw its group index remain unchanged month-on-month; whereas it witnessed a 1.26% increase year-on-year this August.
The index of health, which carries a 1.79% weight, was also flat on a monthly basis whereas it was down 0.08% on yearly basis in August 2019.
The index of tobacco, which has a 0.27% weight, was flat on a monthly basis but had more than doubled with the government substantially hiking excise tax on cigarettes from January this year.
LEAVE A COMMENT Your email address will not be published. Required fields are marked*
QSE seen built on a strong base of profitable companies
Green shoots emerging in global economy as virus lockdowns ease
Nissan set to slash costs after first loss in 11 years
Companies shunning China must weather a world of FX volatility
Most stock markets gain on move to reopen economies
Germany duels with EU over $9.9bn bailout for Lufthansa
Americans on jobless benefits post first drop during Covid pandemic
Medium term oil prices trend lower as industry focuses on lowest-cost reserves: Moody’s