Saudi Arabia Macroeconomic Developments
- Saudi Arabia’s annual inflation rate rose to 2 percent in March as consumer prices for transportation and food continued to rise. Compared to the previous month, consumer prices rose 0.3 percent. Producer (wholesale) inflation meanwhile rose to 12.1 percent YoY amid higher crude oil, refined petroleum, chemical, and machinery prices.
- Fitch affirmed Saudi Arabia’s credit rating at ‘A’ and revised its outlook from ‘stable’ to ‘positive.’ The revised rating reflects improvements in the Kingdom’s balance sheet due to higher oil revenues and a commitment to fiscal consolidation. Fitch projects Saudi Arabia’s debt-to-GDP ratio will remain below 30 percent through 2025.
- Saudi Arabia’s ports cargo throughput increased 7.2 percent YoY in Q1 2022, according to the Saudi Ports Authority (Mawani). Saudi ports saw higher numbers of passengers (+62 percent) and car imports (+13 percent) while imported livestock declined significantly (-58 percent).