GCC
Inflation Rate Stands at 1.7% in 2024

Muscat, 30 Jun (ONA) — The average inflation rate in the GCC countries stood
at 1.7% in 2024, compared to 2.2% in 2023, according to the latest data
released by the GCC-Stat.

The
data show a noticeable variation in the rates of change across the main groups,
with the housing group recording the highest increase at 5.7%, followed by
restaurants and hotels and culture and entertainment, both at 1.8%. This was
followed by education at 1.7%, food and beverages at 1.5%, and goods and
services at 1.1%. Meanwhile, the health group recorded a slight decline of
0.2%, followed by clothing and footwear at 0.7%, communications at 1.0%,
tobacco at 1.1%, and furniture at 1.6%, while the transport group registered
the largest drop at 2.0%.

According to recent data, price levels in the GCC experienced moderate
fluctuations between 2020 and 2024. The region’s inflation rate stood at 1.7%
in 2020, rising to 2.4% in 2021 and reaching its peak at 3.1% in 2022. It then
eased to 2.2% in 2023, continuing its downward trajectory to settle at 1.7% in
2024.These figures reflect the success of the economic policies adopted by GCC
countries in containing inflationary pressures, particularly following the
notable increase in 2022. They also indicate a state of relative stability in
the region compared to the fluctuations seen in global markets.
In 2024, the GCC inflation rate remained notably lower than that of several
major trading partners, underscoring the region’s economic resilience.
Inflation stood at 4.4% in Brazil, 3.8% in India, 3.3% in the United Kingdom,
2.9% in the United States, and 2.7% in Japan. Meanwhile, South Korea and
Germany reported rates of 2.3%, with France recording 2.0%.The inflation rate in both China and Italy was lower than the GCC rate,
recording 0.2% and 1.0% respectively, while the rate in the European Union
stood at 2.6%.

—Ends/AG