UAE businesses lack integral approach to inflation response

UAE businesses lack integral approach to inflation response

Businesses in the United Arab Emirates are taking a relatively one-sided approach to their inflation response. While leveraging the power of pricing can do the trick on the short term, on the longer-run a more integral approach will be needed to protect margins – and capitalise on opportunities.

In its latest ‘International Business Report’, a regular survey by Grant Thornton among 5,000 mid-market businesses across 25+ countries, the accounting and advisory firm gauges the sentiment of leaders on key economic themes. Unsurprisingly, inflation is the talk of the town in the latest edition.

On the back of geopolitical pressures, supply chain stress and rising prices for oil & gas and commodities, inflation has hit its highest point in decades across most (advanced) economies.