By Staff writer
New official figures reveal that inflation drops to 3.8% despite 9.4% jump in transport costs
Saudi Arabia's inflation rate fell to its lowest level this year in July, according to new figures released by the country's Central Department of Statistics.
The data showed that consumer inflation dropped to 3.8 percent last month, from 4.1 percent in June, but was up from 2.2 percent compared to July 2015.
Transport costs jumped 9.4 percent from a year earlier after the government raised gasoline prices in late December as an austerity measure.
Prices of housing and utilities rose 7.5 percent after utility fees were raised in December, but food and beverage prices edged down 0.1 percent.
Saudi consumer confidence score remained flat in the second quarter of 2016 at 104 but remained one of just 12 countries globally to reach or exceed a score of 100, which is the optimism benchmark, according to Nielsen.
The latest Nielsen Consumer Confidence Index said that job prospect sentiment improved two percent (50 percent), personal finance sentiment remained bright (64 percent favourable) while immediate spending intentions reduced by four percent (45 percent).