UAE: Vigilant policy measures to keep inflation under control

UAE: Vigilant policy measures to keep inflation under control

The UAE government has taken various effective measures to contain inflation in the country despite a challenging environment across the globe.

As inflation has become a major concern for major economic powers, the UAE and Gulf Cooperation Council (GCC) countries will show resilience and continue containing prices of essential goods through vigilant policy measures, experts say.

In its latest global economic outlook report, FocusEconomics said inflation is forecast to be highest this year in eastern Europe, the Middle East, Sub-Sahara Africa and Latin America.

The economic consultancy said global inflation is expected to have peaked in third quarter of 2022 to 9.2 per cent and should decline throughout this year.

“Inflation in the Group of Seven (G7) countries will be lower than in most regions in 2023 — albeit still elevated by historical standards,” according to the report citing the war in Ukraine, western sanctions on Russia, Opec’s oil production decisions and the Black Sea grain deal some of the key risks for global inflation.

Monica Malik, chief economist at Abu Dhabi Commercial Bank, said inflation should remain in moderate range this year, especially in the UAE where there was a marked strengthening in the prices this year.

“The softening in UAE Inflation will be on