Annual inflation rate in United Arab Emirates fell to 0.34% in December of 2018 from 1.34% in the previous month. It was the lowest inflation rate since June of 2012, as cost slowed for food and beverages (1.3% from 1.8% in November); transport (1.9% from 8.8%); miscellaneous goods & services (1.3% from 1.6%); recreation & culture (3.6% from 8.3%) and tobacco (1.3% from 1.8%). On the other hand, prices rose faster for furniture & household equipment (3.6% from 3.5%); communication (3.8% from 3.5%); restaurant & hotels (7.2% from 6.9%) and textiles, clothing & footwear (18.8% from 18.4%). Meanwhile, inflation was steady for education (2.5%, the same as in November) and cost dropped less for housing & utilities (-5.0% from -5.3%) medical care (-0.1% from -0.2%). On a monthly basis, consumer prices went down 0.31%, following a 0.30% decrease in November. Inflation Rate in the United Arab Emirates averaged 2.22 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 -1.40 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 0.20 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.