Oman’s Inflation Remains Within Target Range Under the Tenth Five-Year Plan

Inflation in Oman has remained within the targeted range of the Tenth Five-Year Plan this year. This means that prices have not changed much and have been kept under control.

According to reports, the inflation rate in 2023 was less than one percent and from January to April this year, it increased by 0.12 percent compared to the same period last year.

Oman’s Ministry of Economy announced that government measures, such as stabilizing fuel prices and supporting essential goods, have played a significant role in controlling inflation. Additionally, the decline in global prices, especially food items, has had a significant impact.

Food and beverage prices increased by an average of 2.13 percent. However, clothing and footwear prices decreased by 0.05 percent, restaurant and hotel prices decreased by 0.04 percent, and furniture and household equipment prices decreased by 0.14 percent.

Transportation costs saw a significant decrease of 3.4 percent. Prices for housing, water, electricity, gas, and other fuels increased by 0.01 percent.

Inflation rates varied across different provinces. The highest increase was in North Eastern Province at 1 percent. Meanwhile, prices in Muscat and Interior provinces decreased by 0.25 percent and 0.10 percent, respectively.

The Ministry of Economy announced that for the development of provinces and support of decentralization, it has launched the Provincial Competitiveness Index to monitor development progress and determine investment priorities.

Imported inflation, due to rising global prices, impacts local prices and production costs for producers and consumers. Oman is working to reduce these impacts and ensure market stability in the short and long term.

The World Bank also stated that global commodity prices are nearing stability and predicts that these prices will decrease by 3 percent in 2024 and 4 percent in 2025.

Global central banks have witnessed a decrease in inflation rates over the past year by raising interest rates, but these rates remain higher than pre-COVID-19 levels.

Source: Oman’s Inflation Remains Within Target Range Under the Tenth Five-Year Plan (msn.com)