Economy

Breaking: Saudi inflation holds at 1.6% in April due to soaring housing costs!

Saudi Arabia’s Inflation Holds Steady at 1.6 Percent in April

In April, Saudi Arabia’s inflation rate remained unchanged at 1.6 percent for the second consecutive month, with housing prices playing a significant role in driving this stability.

Monthly Inflation Index Shows Marginal Increase

The General Authority for Statistics reported a slight 0.3 percent uptick in the Kingdom’s Consumer Price Index in April compared to March. This increase was mainly influenced by a 0.4 percent rise in housing, water, electricity, gas, and other fuel prices, particularly in housing rents and prices.

Price Changes Across Different Categories

In April, prices for personal goods and services rose by 1.2 percent, while food and beverage prices increased by 0.2 percent. Clothing, footwear, recreation, and culture also saw price hikes, albeit at varying rates. However, prices for furnishings and home equipment decreased by 0.5 percent.

Annual Inflation Sees a Rise

Year-over-year, Saudi Arabia’s Consumer Price Index increased by 1.6 percent in April compared to the same period last year. This increase was primarily driven by higher villa rents and food and beverage prices.

Wholesale Price Index Trends

In April, the Kingdom’s wholesale price index rose by 3.4 percent compared to the previous year, with notable increases in basic chemicals and refined petroleum products. Prices for food products, beverages, tobacco, and textiles also experienced an uptick.

Price Fluctuations in Various Categories

While certain categories like agricultural and fishery products saw price increases, others like ores and minerals and metal products, machinery, and equipment experienced declines. The wholesale price index decreased by 0.4 percent compared to March.

Notable Price Changes in April

GASTAT highlighted significant price increases for Egyptian oranges, Turkish plums, Pakistani mandarins, and Lebanese grapes in April. Conversely, local and imported onions, cucumbers, and yellow apples witnessed notable price drops during the same period.