Country Report Maldives July 2020

Outlook for 2020-21: Inflation

In 2019 average year-on-year growth in consumer prices was almost flat. We believe that consumer prices will decline by an average of 1.7% in 2020, owing to lower global oil prices and weak domestic demand. In 2021, however, inflation will return to positive territory, averaging 2.5%, driven by some recovery in global oil prices and a modest pick-up in economic growth.

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