Inflation in UAE not caused by the dollar peg says Al Suwaidi

Dubai: The UAE Central Bank Governor has said inflation in the country is caused mostly by domestic pressure and not the dollar peg.

Sultan Nassar Al Suwaidi said in a television interview that only around three percent of the inflation was as a result of the UAE's currency policy.

Speaking to Al Arabiya television, he said: "Inflation is temporary and is mostly a result of domestic factors."

Suwaidi said on December 5 that he would leave the peg unchanged for the "foreseeable future".