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FX.co ★ UAE Inflation Accelerates to 2.04% in December, Marking Steady Year-End Price Gains

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typeContent_19130:::2026-03-12T13:00:00

UAE Inflation Accelerates to 2.04% in December, Marking Steady Year-End Price Gains

Consumer price inflation in the United Arab Emirates picked up in December 2025, with the year-over-year Consumer Price Index (CPI) rising to 2.04%, up from 1.30% in November 2025. The data, updated on 12 March 2026, indicate a firming in price pressures at the close of the year.

Both the current and previous readings are based on year-over-year comparisons, measuring price changes in each month against the same month a year earlier. The move from 1.30% to 2.04% suggests that inflationary momentum strengthened in December, signaling a more pronounced increase in consumer prices heading into 2026.

While the figures still point to relatively moderate inflation, the upward shift may draw closer attention from policymakers, businesses, and investors as they assess cost dynamics, pricing strategies, and real returns in the UAE economy over the coming months.

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