Price Indices
In view of the tremendous economic developments in our contemporary world and the need to produce economic indicators to follow these developments and changes, the Department of Statistics (DoS) has established the Prices Division with the aim to construct and extract those indicators.
Consumer Price Index (CPI):
It is a statistical method for measuring changes in the prices of goods and services purchased by the consumer.
It is necessary to note that changes in consumer prices are affected by several factors including: The most important of them are retail prices. As for the other factors, they are related to changes in the quality and quantity of goods and services and the amounts spent on them. Therefore, the consumer price index is a measure of price changes only and not a measure of changes in the cost of living.
The consumer price index also differs from the retail price index, in that the latter relates to the prices of all goods that are included in retail trade, while the interest in the consumer price index is focused on the goods and services purchased by the consumer, as it is limited only to measuring the change during a period of time. In the cost of a fixed set of goods and services called the consumer basket.
The consumer price index is widely used as an indicator of trends in inflation and economic deflation. The public as a guide for family budgeting and funding sources also uses it. In addition to using it as a measure of changes in the purchasing power of the currency. In the field of national accounts, it is used as a planning factor to derive estimates of the fixed price of private spending and its related components.
There is no perfect way to construct the index, as it depends on its components, ease of obtaining them, and the ability to find weights for them.
The Consumer Price Index (CPI):
- The Consumer Price Index (CPI) is based on the Household Income and Expenditure Survey (HIES) in determining the goods and services whose prices must be collected as well as in determining the weights of goods and services.
- The prices of goods and services are collected through a sample of shops from all governorates of the Kingdom.
- The Laspeyres Formula is used in the calculation of the index number.
- The Consumer Price Index (CPI) is issued monthly through a report on the index number, a press release and Excel tables containing the results.
- The international Classification of Individual Consumption according to Purpose (COICOP) is used in addition to other international methodologies and recommendations.
- As for the dissemination dates, the Consumer Price Index (CPI) is one of the indicators published monthly in accordance with the Special Data Dissemination Standard (SDDS) in the local and world press. Dissemination deadline is ten days after end of the reference month.
The Industrial Production Price and Quantity Index:
It is an abstract number that measures the unit change in industrial production as a result of the change or difference in time where the phenomenon for which the index is calculated (change in the price/quantity of industrial production) is determined.
Determining the base year so that it is an economically moderate year, that is, there is no significant growth or severe contraction compared to previous and subsequent years.
The Producer Price index (PPI):
- The Producer Price Index (PPI) is based on the data of the General Census of Economic Establishments as well as on the Industrial Statistics Survey during the census year to determine the economic activities that will be included in calculating the index number.
- A sample of establishments whose data will be collected is drawn from the general frame of establishments.
- Goods with significant relative importance produced by enterprises are identified.
- The Laspeyres Formula is used in calculating the index number.
- The Producer Price Index (PPI) is issued monthly through a report on the index number, a press release and Excel tables containing the results.
- The International Standard Industrial Classification of All Economic Activities (ISIC – 4) is used in addition to other international methodologies and recommendations.
- As for the dissemination dates, the Producer Price Index (PPI) is one of the indicators published monthly in accordance with the Special Data Dissemination Standard (SDDS) in the local and world press. Dissemination deadline is thirty days after end of the reference month.
The Industrial Production Index (IPI):
- The Industrial Production Index (IPI) is based on the data of the General Census of Economic Establishments as well as on the Industrial Statistics Survey during the census year to determine the economic activities that will be included in calculating the index number.
- A sample of establishments whose data will be collected is drawn from the general frame of establishments.
- Goods with significant relative importance produced by enterprises are identified.
- The Laspeyres Formula is used in calculating the index number.
- The Industrial Production Index (IPI) is issued monthly through a report on the index number, a press release and Excel tables containing the results.
- The International Standard Industrial Classification of All Economic Activities (ISIC – 4) is used in addition to other international methodologies and recommendations.
- As for the dissemination dates, the Industrial Production Index (IPI) is one of the indicators published monthly in accordance with the Special Data Dissemination Standard (SDDS) in the local and world press. Dissemination deadline is forty days after end of the reference month.
The Wholesale Price Index (WPI)
- The Wholesale Price Index (WPI) is based on the data of the General Census of Economic Establishments to determine the economic activities that will be included in calculating the index number.
- A sample of establishments whose data will be collected is drawn from the General Frame of Establishments.
- Goods with significant relative importance are identified by the enterprises.
- The Laspeyres Formula is used in calculating the index number.
- The Wholesale Price Index (WPI) is issued quarterly through a report on the index number, a press release and Excel tables containing the results.
- The International Standard Industrial Classification of All Economic Activities (ISIC – 4) is used in addition to other international methodologies and recommendations.
- As for the dissemination dates, the Wholesale Price Index (WPI) is one of the indicators published quarterly in the local press. Dissemination deadline is thirty days after end of the reference month.
- The Consumer Price Index (CPI)
- The Producer Price index (PPI)
- The Industrial Production Index (IPI)
- The Wholesale Price Index (WPI)
1. Consumer Price Index (CPI):1. Consumer Price Index (CPI):The Consumer Price Index (CPI) is one of the indicators published monthly in accordance with the Special Data Dissemination Standard (SDDS) on the international web sites and in the local press. Dissemination deadline is (TEN days) after end of the reference month.
2. Producer Price index (PPI):The Producer Price Index (PPI) is one of the indicators published monthly in accordance with the Special Data Dissemination Standard(SDDS) on the international web sites and in the local press. Dissemination deadline is (THIRTY days) after end of the reference month.
3. Industrial Production Index (IPI): The Industrial Production Index (IPI) is one of the indicators published monthly in accordance with the Special Data Dissemination Standard (SDDS) on the international web sites and in the local press. Dissemination deadline is (FORTY days) after end of the reference month.
4. Wholesale Price Index (WPI):The Wholesale Price Index (WPI) is one of the indicators published quarterly in the local press. Dissemination deadline is (THIRTY days) after end of the reference month.
Data Bank
Tables: Price Indices
Interactive ReportMetadata for Price Indices Survey main indicators.