Kuwait's inflation slowed to a 2.5 per cent year-on-year (y/y) in August, down from 3.1 per cent the previous year, according to the state news agency KUNA.

The prices of food and beverages, which account for over 18 per cent of the consumer basket, rose 5.2 per cent from a year earlier and 0.5 per cent month-on-month.

Analysts polled by Reuters in April predicted average inflation of 3.5 per cent in 2013, up from 3.3 per cent last year.-Reuters