15.10.202606:17:28UTC+00Saudi Inflation Hits 9-Month High

Saudi Arabia’s consumer prices rose 1.9% year-on-year in September 2026, below market expectations of a 2.1% increase but slightly above the 1.8% gain recorded in August. This was the fastest pace of inflation since December of the previous year.

The acceleration was mainly driven by higher prices for food and beverages (up 1.4%), housing and utilities (3.6%, compared with 3.9% in August), and transportation (2.3% versus 2.0%). Inflation also picked up in several service-related categories, including recreation, sport and culture (2.5% versus 2.8% previously), restaurants and accommodation services (1.9% versus 1.4%), insurance and financial services (2.0% versus 1.7%), and personal care, social protection and miscellaneous goods (3.3% versus 3.5%).

By contrast, prices continued to decline for clothing and footwear (-0.4% versus -0.5%) and for furnishings, household equipment and routine maintenance (-0.5% versus -0.6%).

On a monthly basis, consumer prices were flat in September, defying expectations for a 0.1% increase and following a 0.1% rise in the prior month.