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Consumer prices rose an annual 6.1% in July from 0.5% in June, data released by the General Authority for Statistics showed on Sunday.
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The increase was driven mainly by an acceleration in the cost of food and beverages – which rose more than 14% compared with last year – and transport, which rose 7.3%. Reductions in fuel and gasoline prices offset the broader inflation pickup.
Saudi Arabia increased its value-added tax from 5% to 15% on July 1, part of the government’s measures to compensate for lower oil prices as the coronavirus pandemic and crude market turmoil cut deeply into state revenue.
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The Arab states of the Persian Gulf are the seven Arab states which border the Persian Gulf, namely Bahrain, Iraq, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates (UAE).This excludes the non-Arab state of Iran. All of these nations except Iraq are part of the Gulf Cooperation Council (GCC).
