Saudi Arabia’s inflation rate remains stable at 2.1%

Saudi Arabia’s annual inflation rate remained relatively stable at 2.1 per cent in July 2025 compared to the same period last year, the Saudi Press Agency (SPA) reported.

Data from the General Authority for Statistics (GASTAT) showed that Consumer Price Index (CPI) was also stable on a monthly basis, with prices across most categories remaining largely unchanged from June to July 2025.

The Wholesale Price Index (WPI) remained stable at 2.1 per cent July, while recording a slight monthly decline of 0.1 per cent compared to June.

The CPI measures changes in the prices paid by consumers for a fixed basket of 490 goods and services, while the WPI tracks changes in pre-retail prices for a fixed basket of 343 items.

Meanwhile Saudi Arabia’s real Gross Domestic Product (GDP) grew by 3.9 per cent in the second quarter of 2025 compared to the same period in 2024.

According to the Saudi Press Agency (SPA), flash estimates of GDP for Q2 2025, released today by the General Authority for Statistics in Saudi Arabia, showed that non-oil activities recorded the highest growth at 4.7 per cent, followed by oil activities at 3.8 per cent and government activities at 0.6 per cent.

Seasonally adjusted real GDP rose by 2.1 per cent in second quarter compared to the first quarter, with oil activities leading the growth at 5.6 per cent, non-oil activities increasing by 1.6 per cent, while government activities declined by 0.8 per cent.

The Saudi’s Gross Domestic Product (GDP) for the first quarter of 2025, revealed a 3.4 per cent growth compared to the same quarter in 2024. This growth was driven by a 4.9 per cent increase in non-oil activities and a 3.2 per cent rise in government activities. Saudi Press Agency (SPA) reported that oil activities recorded a 0.5 per cent decline. Meanwhile, on a seasonally adjusted basis, real GDP increased by 1.1 per cent compared to the fourth quarter of 2024.

WAM