Saudi Arabia’s annual inflation rate stood at 1.8% in July 2026, unchanged from the previous two months and in line with market expectations. Price growth accelerated for several categories, including food and non-alcoholic beverages (1.5% vs 1.4% in June), housing and utilities (4.2% vs 3.5%), restaurants and hotels (2.0% vs 1.5%), and education (1.2% vs 1.1%).
Meanwhile, prices were stable for information and communication (0.6%) and clothing and footwear (-0.4%), while the decline in furnishings and household equipment eased slightly (-0.5% vs -0.6%).
By contrast, inflation slowed for tobacco (0.4% vs 0.5%), recreation and culture (2.4% vs 2.5%), insurance and financial services (1.4% vs 2.1%), transportation (1.4% vs 1.7%), health (0.3% vs 0.4%), and miscellaneous goods and services (2.9% vs 3.8%).
On a monthly basis, consumer prices rose by 0.2% for the fourth consecutive month, exceeding market forecasts of a 0.1% increase.
