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FINANCIAL NEWS
Saudi inflation up 4.9%
16 Aug 2011
(MENAFN) The Saudi Central Department of Statistics reported that the country’s annual inflation increased to 4.9 percent in July, from 4.7 percent in June, driven by the rising prices of food, products and services, reported Arabian Business.
The data showed that the Saudi inflation rose to 1.2 percent in July on a month-on-month basis, compared with 0.4 percent in June, which is considered to be the biggest monthly increase since January 2008, influenced by a 3.9 percent rise in prices of products and services.
The data also showed that prices of foodstuffs, which form the largest share in the price basket with 26 percent weighting, rose 1 percent on a monthly basis in July.
It is worth noting that analysts expect consumer prices to climb further this year due to surging global food prices and following a government announcement that it plans to spend more than USD130 billion on social projects.
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