Saudi Arabia's Inflation Climbs to 1.9% in October Driven by Rising Housing Rents

KSA, 15 November, 2024 : Saudi Arabia's annual inflation rate rose to 1.9% in October, up from 1.7% in September, according to government data. The increase was primarily driven by a significant 11.6% rise in housing rents, with apartment rents up 11.3%. This pushed the Housing, Water, Electricity, Gas, and Other Fuels category up by 9.6%, which carries considerable weight in the overall inflation basket.

Increases were also seen in other categories, with food and beverage prices rising by 0.1% and personal goods, particularly jewelry and watches, increasing by 2.3%. The restaurants and hotels sector also saw price hikes.

On a month-on-month basis, prices rose 0.3% in October, while transportation costs continued to decrease.

Despite remaining relatively low compared to global inflation rates, Saudi Arabia's inflation has been edging upward since July. The International Monetary Fund forecasts that inflation will stabilize at around 2% over the medium term.

Source : www.zawya.com