Housing, Utilities and Fuel Drive Inflation Index in Saudi Arabia

People shop at a supermarket in Saudi Arabia. (Asharq Al-Awsat)
People shop at a supermarket in Saudi Arabia. (Asharq Al-Awsat)
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Housing, Utilities and Fuel Drive Inflation Index in Saudi Arabia

People shop at a supermarket in Saudi Arabia. (Asharq Al-Awsat)
People shop at a supermarket in Saudi Arabia. (Asharq Al-Awsat)

Saudi Arabia’s inflation rate increased to 2% in November, the highest in 15 months. The rise was driven primarily by a 9.1% increase in housing, water, electricity, gas, and other fuel prices, alongside a 2.7% rise in prices for miscellaneous goods and personal services. In contrast, transportation costs fell by 2.5%.

Despite the increase, Saudi Arabia remains the G20 nation with the lowest inflation rate, a level economists describe as relatively moderate.

According to the Consumer Price Index report published by the General Authority for Statistics (GASTAT) on Sunday, the housing, water, electricity, gas, and other fuel category saw a 9.1% rise, which was mainly due to a 10.8% surge in residential rents.

Housing costs significantly influenced overall inflation, as this category accounts for 25.5% of the consumer basket. Similarly, prices for miscellaneous goods and personal services rose by 2.7%, driven by a 23.7% increase in the prices of jewelry, watches and antiques.

The restaurants and hotels category also experienced a 1.5% rise, fueled by a 5.9% increase in hotel and furnished apartment service costs. Meanwhile, education expenses increased by 1.1%, reflecting a 1.8% rise in tuition fees for middle and secondary schools.

Food and beverage prices rose slightly by 0.3%, primarily due to a 1.9% increase in the cost of meat and poultry.

Dr. Naif Al-Ghaith, Chief Economist at Riyad Bank, linked the 2% year-on-year inflation increase to economic shifts under Vision 2030, which aims to diversify Saudi Arabia’s economy and reduce reliance on oil.

According to Al-Ghaith, the housing and utilities sector was the primary contributor to inflation, with residential rent prices, particularly for apartments, increasing by 12.5%.

Moreover, the 2.7% increase in miscellaneous goods and personal services reflects changes in consumption patterns and rising demand for certain goods and services amid Saudi Arabia’s ongoing economic and social transformation.

In contrast, the transportation sector’s 2.5% decline helped offset inflationary pressures. Al-Ghaith attributed this decrease to improvements in transportation infrastructure and enhanced logistics efficiency, aligning with Vision 2030’s objectives to modernize the transport and logistics sectors.

Al-Ghaith noted that these inflationary changes are part of the Kingdom’s broader economic transformation. For instance, rising housing costs may indicate increased investment in real estate and improved living standards. Similarly, higher prices for personal goods and services reflect the economy’s diversification and the emergence of new industries.



Exponeur… Saudi Initiative to Connect Global Entrepreneurship Ecosystems

Exponeur is the first pavilion in the history of expo that is fully dedicated to the ecosystem of entrepreneurship, innovation, and investment (SPA) 
Exponeur is the first pavilion in the history of expo that is fully dedicated to the ecosystem of entrepreneurship, innovation, and investment (SPA) 
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Exponeur… Saudi Initiative to Connect Global Entrepreneurship Ecosystems

Exponeur is the first pavilion in the history of expo that is fully dedicated to the ecosystem of entrepreneurship, innovation, and investment (SPA) 
Exponeur is the first pavilion in the history of expo that is fully dedicated to the ecosystem of entrepreneurship, innovation, and investment (SPA) 

The Kingdom's pavilion at Expo 2025 Osaka witnessed the launch of the “Exponeur” initiative, a global Saudi initiative that aims to connect entrepreneurs, innovators, and investors through the international Expo platform, and to leverage the global gathering to empower entrepreneurship ecosystems from all around the world.
The initiative spans five years, from Expo Osaka 2025 to Expo Riyadh 2030, and works to link global challenges with opportunities for innovation through training programs, the highlighting of pioneering projects, and the creation of tangible impact to be presented at each edition of the Expo, starting with the Riyadh 2030 edition.
Exponeur aspires to become the first pavilion in the history of expo that is fully dedicated to the ecosystem of entrepreneurship, innovation, and investment, thereby enhancing the Kingdom’s global role in building a limitless entrepreneurial environment and reflecting its firm commitment to promoting international cooperation and supporting the next generation of innovators.
Among the programs and activities that the Exponeur initiative will offer is the “Exponeur Academy,” a global six-month training program that will train 150 entrepreneurs annually from more than 20 countries.

The program includes mentorship sessions, investment readiness preparation, and opportunities to present projects before venture capital funds.
It also includes the “Exponeur Competitions and Challenges,” which span five years and are organized in accordance with the theme of each expo edition.

These challenges go through regional and global stages and conclude with showcasing the top projects at the Exponeur pavilion during Expo Riyadh 2030.
In addition, the initiative includes the “Annual Exponeur Event,” which will be held in Riyadh, the host city of the upcoming expo, and will feature panel discussions, presentations, networking activities, and partnership-building efforts. The initiative also introduces the “Entrepreneurship Development Fund,” which aims to support startup projects and close the financing gap in developing countries.
This initiative is launched in partnership with the Vision Leadership Association, in cooperation with the Ministry of Investment in the Kingdom and the Global Entrepreneurship Network (GEN), and is sponsored by SBI Holdings Japan, which supported the first edition of the initiative’s programs and training activities during Expo 2025 Osaka.

In a statement to the Saudi Press Agency (SPA), Chairman of the Vision Leadership Association and Head of the Saudi Startups Group at the G20 (Startup20) Prince Fahad bin Mansour bin Nasser bin Abdulaziz said that the “Exponeur” initiative embodies the Kingdom’s role in supporting national and global economic development through building bridges between countries to promote a culture of entrepreneurship, innovation, and investment in facing global challenges.

He added that the initiative aims to empower future generations to contribute to the creation of solutions, benefit from the global gathering for knowledge exchange, bridge funding gaps, and present opportunities to stakeholders.

For his part, founder of Exponeur initiative, Mansour Al-Saanouni, said Exponeur began as an idea during Saudi Arabia’s participation in Expo 2020 Dubai.

“It stemmed from a belief in the power of entrepreneurs to present real solutions to global challenges. Today, this idea has evolved into a global initiative to empower entrepreneurs, starting from Expo Osaka 2025 and extending through to Expo Riyadh 2030,’ he said.