Arab News, Tuesday, May 23, 2023 | Thul-Qidah 3, 1444
Oman’s annual inflation rate eases to 1.1% in April, lowest since March 2021
Oman:
Decelerating food prices drove Oman’s inflation levels to a 10-month low of 1.1
percent in April, according to the country’s National Center of Statistics and
Information.
The 19-month low of food inflation — which stood
at 2.7 percent in April as opposed to 4.1 percent in March — was mainly
attributed to lower vegetable prices.
The statistics authority stated change in food
costs came following a 1.6 percent annual hike recorded in March.
Oman also saw prices rise at a softer pace for
housing, utilities, furnishings, household equipment and routine maintenance in
April, standing at 3.5 percent compared to 3.8 percent in March.
Additionally, prices grew at a lower rate for
recreation and culture, reaching 2 percent in April as opposed to 2.3 percent in
the previous month.
Similarly, price levels associated with
restaurants and hotels rose to 3.7 percent in April, down from 3.8 percent in
the month prior.
By contrast, price growth for education was steady
at 0.1 percent.
Meanwhile, prices associated with transport
declined by 0.2 percent after rising by 0.3 percent in the previous month, while
the levels accelerated for health.
Consumer prices rose by 0.1 percent in April,
despite a 0.3 percent drop recorded in the previous month.
This slowdown aligns with the trend across the
Middle East and North Africa region.
Earlier in May, the International Monetary Fund
said economies across the Middle East and Central Asia would likely slow this
year as persistently high inflation and rising interest rates bite into their
post-pandemic gains, according to the Associated Press.
The IMF’s Regional Economic Outlook blamed, in
part, rising energy costs and elevated food prices for the estimated slower
growth.
The report said that while oil-dependent economies
of the Gulf Arab states and others in the region have reaped the benefits of
elevated crude prices, other countries — such as Pakistan — have seen growth
collapse after unprecedented flooding last summer or as economic woes
worsened.
“This year we’re seeing inflation again being the
most challenging issue for most of the countries,” Jihad Azour, the director of
the Middle East and Central Asia Department at the IMF, told AP, adding: “For
those who have a high level of debt, the challenge of increase in interest rate
globally, as well as also the tightening of monetary policy, is affecting
them.”
The IMF forecasts regional growth will drop from
5.3 percent last year to 3.1 percent this year.
Overall, regional inflation is expected to be 14.8
percent, unchanged from last year, as Russia’s war on Ukraine continues to
pressure global food supplies and affect energy markets.