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FINANCIAL NEWS
Report: Saudi inflation to remain above 5%
28 Sep 2010
(MENAFN) A Saudi local bank said that due to a persistent lack in low- to medium-level housing the Kingdom’s inflation percentage will probably stay above five percent until the first six months of 2011, Gulf Daily News reported.
According to the bank, rental costs have been the major issue behind current inflationary pressure as the young population raises its order for reasonably priced low-to medium-level housing while real estate developers focus on luxurious commercial office and luxury housing.
Consumer price growth in Saudi Arabia reached to an 18-month high of 6.1 year-on-year last month, beyond levels seen in other Gulf states but still below 2008 record double-digit peaks.
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