Khaberni - Inflation rate in Saudi Arabia slowed down in January to the lowest level in 11 months, registering 1.8% on an annual basis, with the rise in food and beverage prices and housing rents calming down.
Food and beverage prices, which have the largest weight in the index, slowed for the third consecutive month to 0.2%, the lowest rate in 14 months.
The rise in housing rents also calmed, registering the lowest rate in 38 months at 5.2%, continuing its slowdown for the 14th consecutive month, thanks to the slowing down of rents in Riyadh to the lowest level in three years.
Inflation rate in Saudi Arabia is expected to accelerate to 2% during 2025 from 1.5% in 2024, and forecasts from the Saudi Ministry of Finance indicate that inflation will stabilize at 2% during the current year, then 1.8% in 2027, before slightly increasing to 1.9% in 2028.
