The Clap
The annual inflation rate in the Kingdom remained at 1.6% in April, for the second consecutive month.
Figures
The General Authority for Statistics revealed an increase in housing, water, electricity, gas, and other fuel prices by 8.7% in the previous month.
Food and beverages also rose by 0.8%.
On the other hand, the Consumer Price Index (monthly inflation) in April saw a slight increase.
This was by 0.3% compared to March 2024, due to rising housing rents.
So What
Actual rents for housing increased by 10.4% in April, driven by a 9.4% rise in villa rents.
The rise in this group had a “significant impact” on the continued pace of annual inflation, given its weight of 21%.
Some Context
Saudi inflation remains stable at a low level compared to the past 12 months.
It is the “third lowest rate” since April 2023.
It is also similar to what was recorded in October of last year and January of this year, after an inflation rate of 1.5% in December of the previous year.
It is worth noting that inflation has remained “relatively low” in Saudi Arabia compared to global levels.
It has also stayed below 2% throughout the year so far, amid government policies that limit the impact of global price increases.
