Riyadh August 15 2023: Saudi Arabia’s inflation declined to 2.3% in July compared with the previous month, according to recent data by the General Authority for Statistics (GASTAT).
The cost-of-living index for July rose to 109.68 points, according to the base year 2018, from 107.20 points in the same month a year earlier.
Inflation is measured by the percentage change in the cost of living between the current period and the corresponding period of the previous year. The increase or decline in inflation is measured compared to the previous month.
The higher consumer price index (CPI) was mainly supported by an 8.6% increase in the housing, water, electricity, gas, and other fuels section, reflecting growth in actual housing rents by 10.3%, which came mostly from a 21.1% increase in apartment rent.
The rise in this section had the biggest impact on inflation rates, as it constitutes 21% of the index.
Food and beverage prices also inched up 1.4% due to a 1.9% increase in meat and poultry prices.
On the other hand, the furnishing and household equipment section fell 2.5% on a 4.7% decline in the prices of furniture, carpets, and floor coverings.
Meanwhile, the index saw a decline in the clothing and footwear section by 3.9% during the same month.
On a monthly basis, inflation rose in Al Hofuf, Buraydah, Najran, and Sakaka but declined in Riyadh, Makkah, Jeddah, Madinah, and Hail.
Meanwhile, Dammam, Taif, Tabuk, Jizan, Arar, and Al Baha reported negative inflation figures for the same month.