According to Arab Net, the Economic Central Net said in its quarterly economic report. Prices fell on average 0.3% in the first six months of 2021.
This is due to that real estate prices and private consumption are still recovering from the Corona virus and falling oil prices, but move to the positive area in the second half of 2021.
The Gulf Consumer Price Index has been contraction since 2019, mainly affected by the real estate, which represents more than a third of the scale, according to Bloomberg, and Arabic.
Real estate prices in Dubai fell by 5.5% on an annual basis in the first quarter of the year, while rentals fell by 4.3%.
In the capital Abu Dhabi, residential property prices recorded its first annual gains for more than five years, according to review.
The report also predicted that GDP rose 2.4% this year and 3.8% in 2022, while oil growth is expected to shrink by 1% in 2021.
The UAE's economy is scheduled to benefit from Qatar's World Cup hosting and the International Expo in Dubai.
This comes while the hotel occupancy rate in Dubai during the first quarter of 64% compared to 69% a year ago.
