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HomeEconomySaudi Inflation Rate Steady Amid Private Sector Hiring Surge

Saudi Inflation Rate Steady Amid Private Sector Hiring Surge

Kingdom maintains low inflation as private sector employment and non-oil growth rise.

June 16, 2025
in Economy
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Saudi Arabia’s annual inflation held steady at 2.2 percent in May, according to the General Authority for Statistics. This rate keeps the Kingdom among the G20 nations with the lowest inflation levels.

The Consumer Price Index, tracking the cost of a set basket of 490 goods and services, is updated monthly based on extensive price checks across the country.

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Private sector hiring accelerates

Non-oil private sector growth slowed in April, as new orders expanded at a weaker pace. The Purchasing Managers’ Index dropped to 55.6 from 58.1 in March, its lowest since last August, though still signaling expansion.

Despite softer demand, employment in the private sector grew rapidly, driven by higher sales and business activity. Firms increased hiring to keep up with demand, but overall business confidence was below the historical average.

Saudi Arabia’s economy expanded by 2.7 percent in the first quarter, mainly due to robust non-oil sector performance as part of ongoing diversification efforts.

Tags: inflationNon-Oil Growthprivate sector hiringsaudi arabia economy
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