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FINANCIAL NEWS
Saudi’s July annual inflation up to 4.9%: CB
21 Aug 2011
(MENAFN) Saudi Arabia’s central bank said that as a result of higher food, products and services prices, in July, annual inflation in the country rose to 4.9 percent from 4.7 percent in the previous month, reported Arab News.
The bank added that driven by growing global food prices and the government’s plan to invest around USD130 billion in social projects, in 2011, inflation in the Kingdom would be expected to surge.
It also said that during the year’s third quarter, inflationary pressures would keep their moderate levels; furthermore, people tended to spend more during the holy month of Ramadan and would be expected to spend more during the Eid which might lead to a hike in consumer prices.
It is worth noting in the second half of the year, prices tend to increase due to the summer season and Ramadan.
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