Saudi Inflation Reduces Slightly

The annual inflation rate in the KSA decreased marginally to 4.1% in January 2010. The annual inflation rate in Saudi Arabia decreased marginally from 4.2% in December 2009 to 4.1% in January 2010, according to data released by the government statistics department.

However, month-to-month, the cost of living index increased 0.2% in January 2010. Inflationary pressure in the kingdom is expected to continue during the first quarter of 2010, but at a lesser level than in the fourth quarter of 2009,” the central bank said in a report. Some inflationary pressures will continue because of housing costs, it added. - Kipperport