Inflation Rate In Kuwait Continues To Rise Since 2018; The Highest In The Gulf

A recent report by the MUFG Bank, the second largest Japanese bank, revealed that the inflation rate in Kuwait rose significantly and continuously for more than two years to reach the largest inflation rate among the Gulf countries, after it was the lowest at the end of 2018.

Qatar ranked second with an inflation rate slightly lower than 3%, followed by Oman, the UAE, and Bahrain, but with vast differences, where inflation rates ranged around 1% or less.

Inflation in Saudi Arabia witnessed a significant change, as it witnessed huge and sudden increases starting from the middle of the year 2020 with the raising of the value-added tax, and the increase continued on an annual basis by a large difference to decline sharply starting in June of this year with the end of the impact of the comparison period.

In a comparison between the inflation development rates in the Gulf countries, the report indicated the inflation rate in Kuwait reached slightly more than 3% on an annual basis, thus leading the inflation rate in the Gulf countries.

With the return of the National Assembly, MP Dr. Abdulaziz Al-Saqabi has submitted a parliamentary query about the rate of inflation in Kuwait and the reasons for its rise, after a graph showed inflation rising steadily in Kuwait, unlike the rest of the Gulf countries, where the performance of the inflation rate varied according to many variables.

The International Monetary Fund attributed the high inflation rate in Kuwait during 2021 to the significant increases in food prices in conjunction with the rise in the costs of services related to travel, and expected the inflation rate to reach 3.2% by the end of this year, to maintain the level of 3% in the medium term.

The latest National Bank of Kuwait report touched on the disruptions in global supply chains and their impact on the rise in inflation in Kuwait, expecting the inflation rate to reach 2.6 percent at the end of this year as a result of the rise in global food prices and consumer demand.

 

 

SOURCE  TIMESKUWAIT

Comments Post Comment

Leave a Comment

Submit