Saudi Arabia Macroeconomic Developments
- According to the General Authority for Statistics (GAStat), Saudi Arabia’s annual inflation rate remained stable at 2 percent in November YoY, driven primarily by higher housing costs. Housing rents increased by 10.8 percent YoY in November, while apartment rental prices surged 12.5 percent during the same period.
- Spending in Saudi hotels saw a weekly rise of 10.4 percent between Dec. 8 and 14, reaching SAR349.2 million ($92.9 million), according to the latest Point of Sales (POS) figures. The surge is attributed to the ongoing festivities of Riyadh Season in the Saudi capital.
- Saudi Arabia’s central bank (SAMA) lowered its benchmark interest rate to 5 percent, its third cut this year, aligning with the U.S. Federal Reserve’s decision to reduce rates by 25 basis points. SAMA cut its repurchase agreement rate to 5 percent and the reverse repurchase agreement rate to 4.5 percent
