Saudi inflation remains steady at 1.6% in April: Al Rajhi

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Saudi Arabia’s inflation rate held steady at 1.6% in April, according to recent data from the General Authority for Statistics (GASTAT).

The consumer price index (CPI) increase was primarily driven by an 8.7% year-on-year (YoY) rise in housing, water, electricity, gas, and other fuel prices, according to Al Rajhi Capital Research.

Additionally, The Wholesale Price Index (WPI) rose by 3.4% in April 2024 compared to the same month in 2023. Furthermore, Saudi crude oil production (mbpd) remained the same at 9.04 in April.

Consumer Price Index

Consumer Price Index increased by 1.60% y-o-y in April (+1.60% y-o-y in March). The y-o-y rise of the CPI resulted mainly from Housing, Water, Electricity, and Gas (+8.70% y-o-y).

Wholesale Price Index (WPI) increased by 3.37% y-o-y in April (3.80% y-o-y in March), due to a rise in ‘Other transportable goods, except metal products, machinery, and equipment transportable goods (8.06%).

Index of Industrial Production (IIP) decreased (-8.70% y-o-y) in March, mainly due to a decline in the Mining and quarrying sectors’ activity (-14.20% y-o-y).

Non-oil exports

Non-oil exports in March decreased by 0.80% y-o-y, compared to the increase of 4.40% y-o-y in February. The shipment decrease was driven by ‘Base metals and articles of base metal’ (-28.70% y-o-y).

Saudi Central Bank’s foreign reserves, on an annual basis, rose 3.40% in April compared to the increase in March, to SR1.67 trillion ($450 billion).