Annual inflation in Saudi Arabia reaches 1.6% in March 2024 compared to March 2023

The Consumer Price Index (CPI) in the Kingdom of Saudi Arabia increased by 1.6% during the month of March 2024, compared to the same period last year.

This is attributed to an 8.8% increase in prices of housing, water, electricity, gas, and other fuels, as well as a 0.9% increase in prices of food and beverages.

Meanwhile, prices of transportation decreased by 1.8%, and prices of personal goods and services decreased by 1.1%

Actual housing rents increased by 10.5% in March 2024, influenced by the increase in villa rents by 9.7%. This increase had a significant impact on the annual inflation rate for March 2024, due to the weight of this category (21.0%).

Similarly, food and beverage category increased by 0.9%, influenced by a 6.8% rise in vegetable prices. Prices in the restaurants and hotels category also rose by 2.4%, affected by a 2.2% increase in food services prices.

Furthermore, the recreation and culture sector recorded a 0.7% increase, influenced by a 5.1% rise in holiday and tourism prices.

Meanwhile, the education category saw a 1.2% increase, driven by a 4.3% increase in secondary education fees.

On the other hand, prices in furnishing and home equipment sector decreased by 3.2%, driven by a 5.3% decline in furniture, carpet, and flooring prices. Similarly, prices in the clothing and footwear category decreased by 4.0%, influenced by a 6.6%

decline in ready-made clothing prices. Transportation prices also decreased by 1.8%, affected by a 3.0% decrease in vehicle purchase prices.

In March 2024, the Consumer Price Index recorded a slight decrease of 0.1% compared to February 2024. This monthly inflation index was influenced by a 0.7% decrease in the food and beverage sector, which, in turn, was affected by a 0.6% decline in meat and poultry prices.

Furthermore, the index witnessed decreases in the prices of the following categories: transportation by 0.7%, furnishing and home equipment by 0.7%, recreation and culture by 0.9%, communications by 0.3%, and tobacco by 0.1%.

On the other hand, prices increased in the housing, water, electricity, gas, and other fuel category by 0.7%, personal goods and services category by 0.3%, and clothing and footwear category by 0.1%.

However, prices of services such as education, restaurants and hotels, and health did not show any significant change in March 2024.