Saudi Gazette report
RIYADH — The average annual inflation rate or Consumer Price Index in Saudi Arabia recorded an increase of 0.5 percent, reaching 2 percent in 2025, compared to 1.5 percent in 2024, according to the General Authority for Statistics (GASTAT).

In its annual average Consumer Price Index report for 2025, the GASTAT said that this increase is mainly due to a 6.1 percent rise in the prices of housing, water, electricity, gas, and other fuels, driven by an 8.2 percent increase in residential rents, which had the greatest impact on the annual inflation rate.

The food and beverage sector also recorded a 1.1 percent increase due to a 1.1 percent rise in food prices, along with a 1.8 percent increase in the prices of restaurants and accommodation services, influenced by a 2.4 percent rise in accommodation service prices.

The average annual price of personal care, social protection, and other goods and services rose by 5.1 percent, driven by an 18.6 percent increase in the price of other personal belongings. Similarly, the average annual price of recreation, sports, and culture increased by 2.5 percent, influenced by a 5.8 percent rise in holiday package prices.

Some sectors saw a decrease in their average annual prices during 2025, most notably furniture, household appliances, and routine home maintenance (0.8 percent), information and communication (0.7percent), and a slight decrease in health (0.2 percent).

The GASTAT data showed that the average annual increase in the wholesale price index rose by 2 percent in 2025, primarily driven by a 4 percent increase in the prices of transportable goods—excluding metal products, machinery, and equipment—and a 4.1 percent increase in the prices of agricultural and fishing products.

The category of other transportable goods also saw an increase, resulting from a rise in the prices of refined petroleum products by 8.2 percent and a 9.2 percent increase in the prices of furniture and other goods not classified elsewhere. Food, beverages, tobacco, and textiles also saw a 0.2 percent increase, fueled by a 1.5 percent rise in the prices of grain mill products, starches, and other food products, and a 1.1 percent increase in the prices of leather, leather products, and footwear.

The prices of agricultural and fishing products recorded an annual increase of 4.1 percent, due to a 6 percent rise in agricultural product prices and a 2.1 percent increase in the prices of fish and other fishing products.

Prices for metal products, machinery, and equipment rose by 0.1 percent, supported by a 3 percent increase in the prices of manufactured metal products and a 1.5 percent rise in the prices of electrical machinery and equipment.

On the other hand, the raw materials and minerals sector saw a 1.2 percent decline, impacted by a similar drop in the prices of stones and sand.