Today's Edition
HOSAM ABDEL NABI (ABU DHABI)
Reports from the Statistics Centre - Abu Dhabi (SCAD) indicate improvement in key economic sectors, particularly real estate, hotels, and building materials. Residential rents in Abu Dhabi increased by 1.9% during the first half of this year, reflecting rising demand and economic activity. Abu Dhabi hotel revenues grew by 25.2% in May year-on-year, with hotel room prices rising by 17.4% during the same period. Inflation rates for major building materials, including iron, cement, tiles, and marble, have declined, and the consumer price index rose by only 1.1% in the second quarter of this year, indicating controlled inflation.
The report from SCAD shows that residential rental prices in Abu Dhabi increased by 1.9% in the first half of this year, reaching 96.6 points compared to 94.8 points in 2023. In the Abu Dhabi region, residential rents rose by 1.35%, with the rental price index climbing from 95.9 points in December to 97.2 points in June. In the Al Dhafra region, residential rents increased by 1.13% during the same period.
The Abu Dhabi hotel price index grew by 17.4% in May compared to May 2023. The price index for overnight stays in five-star hotels rose by 18.3%, four-star hotels by 16.8%, and three-star hotels by 14.7%. Deluxe hotel rooms saw a 14.5% price increase, superior rooms 16.2%, and standard hotel rooms 11.6%. Hotel apartment prices also rose by 14.7%.
The “Hotel Price Index May 2024” report confirmed a 25.2% increase in hotel accommodation revenues in May year-on-year. Five-star hotel revenues grew by 26.8%, four-star hotels by 18.4%, and three-star hotel revenues by 34.8%. Deluxe hotel room revenues increased by 21.3%, superior room revenues by 22.6%, and standard hotel room revenues by 10.8%, with hotel apartment revenues up by 20.8%.
The June 2024 Building Materials Price Statistics Report showed a decline in prices for cement by 1%, iron by 3.6%, wood by 0.3%, false ceilings by 3.1%, electrical cables by 3.2%, building wires by 5.8%, and residential tower wires by 4.6%. Conversely, paint prices rose by 6.2%, concrete by 0.8%, bricks by 0.8%, and tiles and marble by 1.3%. Sand, gravel, natural stone, and insulating materials saw no price changes in June.
The Consumer Price Index (CPI) for the second quarter rose to 106.3 points, a 1.1% increase compared to the same period last year. The CPI for household equipment and maintenance decreased by 0.8%, communications by 1%, recreation and culture by 2.6%, and restaurants and hotels by 0.2%.
In contrast, the health index rose by 5.9%, food and beverage by 0.3%, tobacco by 0.8%, clothing and footwear by 4.5%, housing and utilities by 0.4%, transportation by 3.7%, education by 1.1%, financial services by 4.2%, and personal care and social protection by 2.1%.
