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The inflation rate in Bahrain between 2020Q1 and 2021Q1 (year-over-year) was -2.7%. When I was looking at the graph below regarding nominal pay raises for

The inflation rate in Bahrain between 2020Q1 and 2021Q1 (year-over-year) was -2.7%. When I was looking at the graph below regarding nominal pay raises for the private and public sector, I see that both have increased but I can understand why real values would decrease if we have a negative inflation rate. Can you help explain and show the calculation?

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Indicator 2020Q1 2020Q4 2021Q1 Total 743,620 687,700 685,204 Employment Bahraini 156,746 152,678 153757 Employment Non-Bahraini 586,874 535,022 531,447 Employment Monthly Wage, BD702 BD705 BD714 Public Sector Monthly Wage, BD441 BD447 BD455 Private Sector Real GDP in BD3.151 BD3.086 BD3.064 billions of BDs

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