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

Xlinks warns cost of Morocco-UK Power Project could rise some 25% to reach $30bn

UK renewable energy producer Xlinks, noting significant upward pressure on the cost of all energy projects, has warned that construction of the Morocco-UK Power Project could reach $27bn to $30bn, up ... more

Morocco in talks with investors to build EV battery gigafactories, says minister

The Moroccan government is in extensive talks to attract more electric vehicle (EV) battery manufacturers to support its growing automotive sector and meet soaring demand, industry and trade minister ... more

UAE’s Masdar, Uzbekhydroenergo partner up to evaluate potential of national hydro power storage

United Arab Emirates renewable energy company Masdar has partnered with Uzbekhydroenergo to evaluate the potential of national hydroelectric power storage projects. Masdar and Uzbekhydroenergo, a ... more

Follow Us On

Most Read

  1. Cheap Russian drones overwhelm US-made Abrams tanks, taken out of action
    7 days ago
  2. Shocking trial of ex-minister has shifted domestic violence attitudes in Kazakhstan, says brother
    1 day ago
  3. The models are wrong, climate change is accelerating faster than predicted
    9 days ago
  4. Russia already treating Bosnia’s Republika Srpska as an independent state
    9 days ago
  5. Saddam-era Iraqi howitzers get delivered to Ukraine
    6 days ago
  1. Albanians campaign on social media to keep bus bridge created in freak accident
    2 years ago
  2. Saudi Arabia to scale back plans for Neom city
    24 days ago
  3. Iran vs Israel: Who is better equipped for war?
    20 days ago
  4. Leading emerging markets move rapidly up World Bank’s PPP GDP and FDI confidence rankings
    25 days ago
  5. Oil continues to flow to Israel via Turkey despite Erdogan’s vehement speeches on plight of Gaza
    6 months ago

Reports

Dismiss