Saudi Arabia's inflation rate saw a slight uptick in August 2024, registering at 1.6% compared to 1.5% in July. This marks a continuation of gradual inflationary pressures, with housing rental costs playing a key role. According to data from the General Authority for Statistics, housing rents surged by 10.7% year-on-year, driving a broader rise in costs for housing, water, electricity, gas, and other fuels, which collectively increased by 8.9%. The price hikes have been concentrated in the housing sector, as demand for rental properties remains elevated.
Food prices also saw a modest increase, rising 0.9% in August, with vegetables alone experiencing a significant 4.6% jump. Other sectors, such as restaurants, hotels, and education, contributed to the inflationary trend, while some categories saw price declines. For instance, transport costs fell by 3.4%, and the furnishings and home equipment sector saw a 3.5% drop. On a month-to-month basis, overall prices in the kingdom increased by a marginal 0.1%, reflecting the steady but moderate inflation.
