Inflation rate decreases by 0.25 per cent from previous month

MUSCAT: The annual inflation rate in the Sultanate of Oman reached 0.91 per cent by the end of May 2023, marking a 1.49 percentage point difference from the previous year, and 0.25 percentage point decrease in comparison to the previous month.

According to the National Center for Statistics and Information (NCSI), the rate decreased as a result of a 1.31 per cent decline within the housing, water, electricity, gas and fuels category in comparison to April of 2023. The dip was attributed to a reduction of power tariffs by 15 per cent per recent Royal Directives. The category represents 26 percent of total expenditure, compared to April of 2023.

Prices, in comparison to the previous year, dropped in the following categories: vegetables by 7 percent, seasonal fish and seafood by 4.88 per cent, fresh seasonal fruits by 1.51 per cent, transport by 1.32 per cent and communications by 0.17 per cent.

However, according to the data most consumer price index groups experienced price increases in comparison to May 2022, including restaurants and hotels by 3.69 percent, and furniture, fixtures, household equipment and routine household maintenance by 3.14 percent, and food and non-alcoholic beverages by 2.73 per cent.

According to the Centre, the majority of food and beverage witnessed a price increase, with dairy products increasing by a whopping 9.55 per cent, followed by 5.78 per cent increase in oils and fats, 4.62 per cent increase in fish and seafood, 4.39 increase in non-alcoholic beverages, a 3.75 per cent increase in other food items, a 3.72 increase in sugar, jams, honey and sweets, a 3.09 increase in bread and cereals, a 2.47 increase in meats, and a 1.17 increase in fruits.

In addition, the cost of miscellaneous goods and services increased by 2.17 per cent, tobacco by 1.76 per cent, culture and entertainment by 1.43 per cent, health by 1.28 pe recent, clothes and shoes by 0.76 percent, education by 0.05 percent, and housing, water, electricity, gas and other types of fuel by 0.02 percent.

Al Buraimi Governorate witnessed the highest inflation rate, reaching 1.63 percent, while the North and South Al Sharqiyah Governorates experienced the lowest rate at 0.34 percent.