Consumer prices in Bahrain fell 0.2 per cent in January from a year earlier, the first decrease in 5 months, and also dipped 0.1 per cent from the previous month , data from the Central Informatics Organisation showed on Monday.

The monthly decrease in the consumer price index was due to a fall in the food and beverage index by 1.1 per cent, which in turn was driven by a drop in the prices of fresh vegetable and sugar.

The non-Opec economy is seen growing by 3 per cent in 2012 after an estimated 1.8 per cent in 2011.

In her comments, Liz Martins, senior economist, HSBC (Mena) based in Dubai, said, 'Global food prices have fallen since last year which is easing the price pressures on the external front.'

'In Bahrain you don't have much pressure domestically, you don't have a lot of domestic demand, and the growth climate is weak. We don't see a big pick-up this year,' she added.-Reuters