Riyadh: According to the most recent report made public by the General Authority for Statistics of the Kingdom, Saudi Arabia's annual inflation rate increased by 3.3 percent in December 2022 compared to the same month in 2021.

According to the report, the increase in the consumer price index in the Kingdom was primarily caused by higher costs for housing, water, electricity, gas, and other fuels, which increased by 5.9 percent, while costs for food and beverages increased by 4.2 percent.

The inflation rate in Saudi Arabia reached its highest level in December since it reached 6.2 percent in June 2021.

Also Read: The World Bank expects West Africa to grow in 2023 except for one

The report claims that the rise in actual housing rents of 6.8 percent, which was brought on by the rise in apartment rental prices of 18.1 percent, resulted in higher costs for housing, water, electricity, gas, and other fuels.

Saudi Arabia's inflation rate was 2.9 percent in November compared to 3.1 percent and 3 percent in September and October, respectively.

Also Read:  IMB missionaries are still "present" despite global inflation

Due to their high relative importance in the Saudi consumer basket with a weight of 25.5 percent, housing costs were the primary driver of inflation in December 2022, according to GASTAT's report.

The report also noted that the cost of transportation in the Kingdom increased by 4.1% on an annual basis, primarily as a result of a 5% increase in the cost of buying a car.

December saw a 6.8 percent increase in restaurant and hotel prices, primarily due to a 7% rise in catering costs.

According to the report, pre-primary and primary school tuition increased by 5.9 percent, driving up education costs in the Kingdom by 3.6 percent year over year.

Prices for housing, water, electricity, gas, and other fuels increased by 0.9 percent when compared to November, while those for transportation, dining, and lodging rose by 0.4 percent and 0.2 percent, respectively.

In the meantime, according to a different GASTAT report, the Kingdom's wholesale prices rose by 3% in December compared to the corresponding month in 2021, driven by a 7.5% increase in the cost of food, beverages, tobacco, and textiles.

Also Read:  Reasons Pakistan's Economy Is A Basket Case

The report claims that because the prices of agricultural and fishery products fell by 0.6 percent in December 2022 compared to November 2022, wholesale prices decreased by 0.2 percent.