Annual inflation rate in United Arab Emirates decreased to 3.1 percent in September of 2018 from 3.9 percent in the previous month. It was the lowest inflation rate since December of 2017. Main upward pressures came from higher prices of food & beverages (3.2 percent) and transport (12.9 percent), mainly due to gasoline prices. Additionally, prices rose for education (4.3 percent); miscellaneous goods & services (1.4 percent); furniture & household goods (6.1 percent); communication (3.7 percent); restaurant & hotels (7.8 percent); recreation & culture (12.4 percent); textiles, clothing & footwear (21.8 percent) and tobacco (86.8 percent). On the other hand, cost fell 4.4 percent for housing & utilities, compared to a 3.6 percent drop in August. On a monthly basis, consumer prices went down 0.6 percent, after a 0.1 percent gain in August. Inflation Rate in the United Arab Emirates averaged 2.26 percent from 1990 until 2018, reaching an all time high of 12.30 percent in December of 2008 and a record low of -0.40 percent in October of 2009.
Inflation Rate in the United Arab Emirates is expected to be 3.40 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Inflation Rate in the United Arab Emirates to stand at 2.30 in 12 months time. In the long-term, the United Arab Emirates Inflation Rate is projected to trend around 2.30 percent in 2020, according to our econometric models.