Annual Inflation in Saudi Arabia Increased by 5.3% in December 2020

The consumer price index increased in KSA by 5.3% in December 2020 compared to the same month last year in December 2019, which is lower than the inflation rate for the previous month, November 2020.

This price development is largely due to the increase in value-added tax from 5% to 15%, which has been in effect since the start of July 2020.

The biggest upward pressure on inflation came from food and beverage prices, which rose by 12.7% and transport prices, which rose by 9.6%.