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FINANCIAL NEWS
Oman’s inflation climbs to 3.2% in May
06 Jul 2010
(MENAFN) A report issued by the Omani National Economy Ministry showed that the Sultanate?s inflation has climbed to a one-year high of 3.2 percent year-on-year in May as key items such as food, transport and housing costs edged up, Reuters reported.
Inflation in non-Opec Oman started picking up again in December, when it rebounded from a low of 0.8 percent the previous month. It reached 3.0 percent in April but is still far away from the June 2008 high of 13.7 percent.
Consumer prices rose 0.2 percent month-on-month in May, following the same increase in the previous month, the economy ministry data showed.
It also warned soaring prices my put a pressure on the currency if inflation differential to the US widened further. Flexibility of Oman’s monetary policy is limited by the rial peg to the US dollar.
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