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FINANCIAL NEWS
Saudi expects 2013’s inflation growth to slow to 4.3%
17 Feb 2013
(MENAFN) Saudi Jadwa Investments stated that the Kingdom’s inflation growth is expected to decelerate during the current year to 4.3 percent, from 4.5 percent in 2012, reported Emirates 24/7.
The investment company attributed the projected decline; one of the lowest rates in 8 years, to the expected drop in housing and food inflation.
Jadwa said that inflation will go down in almost all components of the consumer price index, with that in housing retreating by 7.1 percent from 8.1 percent in 2012.
Meanwhile, food and beverage costs are also projected to decrease to nearly 4.2 percent from 4.4 percent, and education and entertainment to 2.9 percent from last year’s 3.1 percent.
Moreover, inflation in medical care will be at 0.2 percent in 2013, slightly above the 0.1 percent recorded in 2012, whereas “other expenses and services” will fall to 2.2 percent from 3.7 percent.
It is worth noting that Saudi inflation in transport and telecommunications is expected to grow to 2 percent from 1.8 percent in 2012.
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