Saudi Arabia Macroeconomic Developments
- Saudi Arabia’s inflation eased to 1.6 percent in March, down from 1.8 percent the previous month, driven by changes in the food and beverage sector. Inflation was impacted by a 0.7 percent decrease in the food and beverage sector, primarily due to a 0.6 percent decline in meat and poultry prices.
- Payments made through point-of-sale (POS) terminals in Saudi Arabia experienced a notable 20 percent annual increase in February, totaling SAR53.72 billion ($14.33 billion). The largest portion of POS spending in February was allocated to beverages and food, comprising 15.7 percent of the total at SAR8.43 billion ($2.25 billion). This was followed by spending on restaurants and cafes, accounting for 15 percent of the total and reaching SAR8.02 billion ($2.14 billion).
- Saudi banks extended loans totaling SAR2.65 trillion ($706.3 billion) in February, marking an 11 percent rise YoY. Figures released by SAMA showed an increase in personal borrowings, which accounted for 32 percent of this growth, while the remaining 68 percent was attributed to the expansion of corporate lending, particularly for real estate activities, as well as electricity, gas, and water supplies.
