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FINANCIAL NEWS
Saudi inflation rises to 6.1% in August
08 Sep 2010
(MENAFN) The Saudi government said that the Kingdom’s inflation has accelerated for a seventh month to reach 6.1 percent in August as the costs of food and rent rose, SPA reported.
Consumer prices increased 0.6 percent from July, the government said. Rent, fuel and water prices gained an annual 8.9 percent while the costs of food and drinks rose 8 percent, it added.
The central bank in Saudi Arabia, the Arab world�s biggest economy, said last month that it expects inflationary pressures to persist in the third quarter as growth accelerates.
The central bank cut the repurchase rate to 2 percent last year, the lowest since 2004, and the reverse repurchase rate to 0.25 percent.
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