The transport sector, which has 14.59% weight in the CPI basket, saw its group index expand 3.8% y-o-y in Q2, 2015 because of the rise in the prices of transport equipment and related services with no changes in personal transport fares.

By Santhosh V. Perumal/Business Reporter

Qatar's cost of living, based on consumer prices index (CPI), rose 1.1% year-on-year (y-o-y) in the second quarter (Q2) of this year with rents as well as education, transport and tobacco prices remaining above the overall general price levels in the country.
The CPI inflation rose 0.5% against the previous quarter's levels mainly on higher costs for recreation and culture, according to figures released by the Ministry of Development Planning and Statistics (MDPS).
Expecting consumer price levels to be “muted,” MDPS in it Qatar Economic Outlook for 2015-17 said the country’s CPI inflation is likely to stay at 2% this year against 3.3% in 2014 but will see a modest pickup in the next two years.
The education group, which carries 5.75% weight in the CPI basket, saw the maximum rise of 11.1% y-o-y in Q2, 2015 due to the increase in fees of the primary and pre-primary education. The index was, however, unchanged from the previous quarter's level.
The tobacco group, which has 0.27% weight in the CPI basket, increased 9.6% y-o-y in Q2 this year but quarter-on-quarter, it was unchanged.
The transport sector, which has 14.59% weightage in the CPI basket, saw its group index expand 3.8% y-o-y in Q2, 2015 because of the rise in the prices of transport equipment and related services with no changes in personal transport fares. It was down 0.5% against the previous quarter's level.
The housing, water, electricity and gas group – with a weight of 21.89% in the CPI basket - saw its index rise 2.4% y-o-y in Q2 this year and it was up 0.7% from the previous quarter's level.
Although rents saw an increase in Q2, tariffs of fuel and water remained relatively stable, the ministry said.
The clothing and footwear group, which carries 5.11% weight in the CPI basket, saw 0.9% y-o-y increase in its index in Q2, 2015 and it rose 0.5% quarter-on-quarter.
The furnishings and household equipment group, which carries 7.7% weightage in the CPI basket, also witnessed 0.9% y-o-y rise in its index in Q2 this year and it rose by a similar proportion against the previous quarter's level.
Furniture and textiles were the most increasing components in this group, while no increase was observed in the prices of household appliances, the ministry said.
The restaurants and hotels segment, which has 6.08% weight in the CPI basket, saw its group index rise 0.7% y-o-y in Q2 this year but it was unchanged quarter-on-quarter.
The Food and beverages sector, which has a weight of 12.58% in the CPI basket, saw its group index expand 0.3% y-o-y in Q2, 2015; whereas it was down 0.1% against the previous quarter's level.
The health sector, which carries 1.79% weightage in the CPI basket, witnessed 0.2% rise y-o-y in Q2 this year; even as the index was down 0.2% quarter-on-quarter.
However, the recreation and culture group, which has 12.68% weightage in the CPI basket, saw its index plunge 6.2% y-o-y in Q2 this year; while it surged 6.2% compared to the first quarter of 2015.
The communication segment, which carries 5.87% weight in the CPI basket, saw its group index decrease 1% y-o-y in Q2, 2015; while it was unchanged from the quarter's level.
The miscellaneous Goods and services group, which has 5.69% weightage in the CPI basket, witnessed 0.5% fall y-o-y in Q2 this year and it reported 0.4% decline quarter-on-quarter.