Saudi annual inflation rate reaches 2.0% in November 2024

The annual inflation rate in Saudi Arabia reached 2.0% in November 2024, compared to November 2023. This is primarily attributed to the rise in the prices of housing, water, electricity, gas, and other fuels by 9.1%, as well as the increase in the prices of personal goods and services by 2.7%. Meanwhile, the prices of transportation decreased by 2.5%.

Rental prices main driver of inflation in November 2024 compared to November 2023

The section of housing, water, electricity, gas and other fuels section increased by 9.1%, which was affected by the increase in rents paid for housing by 10.8% in November 2024, due to the increase in apartment rental prices by 12.5%. The increase in this section had a significant impact on the continuation of the annual inflation pace for the month of November 2024 due to the weight formed by this section, which amounted to (25.5%).

Similarly, personal goods and services prices increased by 2.7%, influenced by a 23.7% rise in jewelry, watches of all kinds and precious antiques prices. Prices of restaurants and hotels sector also rose by 1.5%, driven by a 5.9% increase in hotel and furnished apartment services prices .

Meanwhile, the education sector witnessed an increase of 1.1%, due to a rise in the fees of intermediate and secondary education by 1.8%.

Food and beverage prices increased slightly by 0.3%, driven by a 1.9% increase in meat and poultry prices.

On the other hand, prices of furnishing and home equipment decreased by 2.9%, influenced by a decline in furniture, carpets, and flooring prices by 4.4%. Similarly, prices of clothing and footwear decreased by 2.3%, influenced by a 4.6% decline in ready-made clothing prices.

Transportation prices also decreased by 2.5%, affected by a 3.9% decrease in vehicle purchase prices.

Stability of prices on a monthly basis in November 2024 compared to October 2024

The consumer price index in November 2024 recorded relative stability, as it increased by 0.3% compared to October 2024. This monthly inflation index was influenced by a 0.9% rise in the section of housing, water, electricity, gas, and other fuels, which in turn, was affected by a 1.0% increase in actual housing rents and prices.

The index also witnessed an increase in the prices of personal goods and services by 0.5%, driven by a 6.5% rise in insurance services and prices.

Food and beverages increased by 0.2%, restaurants and hotels increased by 0.2%, recreation and culture increased by 0.1%, and tobacco increased by 0.1%.

However, the index witnessed a decrease in the prices of clothing and footwear by 0.3%, furnishing and home equipment by 0.3%, communications by 0.1%, and health by 0.1%.

On the other hand, the prices of transportation and education did not show any significant change in November 2024.