Palm trees and buildings in Saudi Arabia

Saudi Arabia Inflation June 2022

Saudi Arabia: Inflation comes in at highest level in a year in June

Consumer prices rose 0.23% in June over the previous month, picking up from May’s 0.12% increase. Looking at the details of the release, faster price increases for food and transport were largely responsible for the acceleration.

Inflation came in at 2.3% in June, which was up from May’s 2.2%. June’s figure represented the highest inflation rate since June 2021. Meanwhile, the trend pointed down mildly, with annual average inflation coming in at 1.4% in June (May: 1.6%).

Inflation should rise in H2 owing to rising commodity prices, supply bottlenecks and rising domestic demand. That said, it should remain muted compared to other countries in the Middle East due to government subsidies. In particular, the government pledged to cap petrol prices when oil prices breach USD 70 per barrel at the end of last year, limiting the pass-through from rising fuel costs on domestic inflation.

Free sample report

Access essential information in the shortest time possible. FocusEconomics provide hundreds of consensus forecast reports from the most reputable economic research authorities in the world.
Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest