Qatar’s PPI drops 30% y/y in April

By bne IntelliNews June 29, 2016

Qatar’s producer price index contracted 29.6% y/y in April, narrowing from a 33% annual deflation the preceding month, amid falling costs in all sectors except utilities, the statistics office said on June 29.

In monthly terms, however, Qatar’s PPI grew 1.6% in April, reversing a 1.9% m/m contraction in March. The monthly expansion is the first in over ten months amid slightly recovering oil prices and the gradually fading low base effects.

Falling production charges in Qatar have curbed the CPI inflation over the past 17 months despite strong inflationary pressures amid aggressive public spending. Qatar’s CPI inflation cooled to 2.6% y/y in May from 3.4% y/y the preceding month on falling food prices and lower entertainment costs.

Producer prices in the mining and quarrying sector (77% of the index) dropped 35% y/y albeit rising 1.1% m/m in April on contracting producer charges in the crude oil and natural gas sector (down 35.4% y/y) that largely offset a 0.5% y/y rise in the charges of stone, sand and clay.

Utility prices grew 2.1% y/y in April but shrank 1.6% m/m. Water costs grew 2.7% y/y and those of electricity energy grew 1.5% y/y.

The manufacturing sector's PPI (21% of the basket) declined 18% y/y in April but expanded 2.4% m/m on higher energy costs in monthly terms.

Read in IntelliNews Pro

Get IntelliNews Pro

Related Articles

Egypt signs oil and gas exploration deals with Dragon Oil, Perenco and Apache worth over $121mn

Egypt’s Ministry of Petroleum and Mineral Resources signed three agreements on September 14 – with UAE-based Dragon Oil, and French independent Perenco Egypt and its US peer Apache Egypt ... more

Egypt eyes $5.2bn in manufacturing investments for FY2025/26, says planning minister

The Egyptian government plans to attract EGP 252.8bn ($5.2bn) in investments to the manufacturing sector for FY 2025/26, Economy Plus reported on September 3, citing the country’s Minister of ... more

Egypt set to receive $500mn tranche from IMF Resilience and Sustainability Facility before end-2025

Egypt is set to receive the first tranche of $500mn from the International Monetary Fund’s (IMF) Resilience and Sustainability Facility (RSF) before the end of 2025, Asharq Business reported on ... more

Dismiss

Chat with usLiveChat