#Saudi Arabian economy improves further as credit to private sector rises | ZAWYA MENA Edition

Saudi Arabian economy improves further as credit to private sector rises | ZAWYA MENA Edition:

Saudi Arabian economy continued to improve as credit to the private sector registered a rise (+2.1% y-o-y; +0.4% m-o-m) in April, while bank claims to the public sector also grew (+25.5% yo-y; +2.7% m-o-m) in the same month, Al Rajhi Capital said in its Monthly Economic Report in June this year, quoting SAMA data for April.

In addition, deposit increased at the fastest annual pace in 21 months in April (+2.9% y-o-y; +1.3% m-o-m). POS transactions continued its rise in April (+24.4% y-o-y; +3.0% m-o-m), supported by ‘Restaurants and Hotels’, ‘Food and Beverage’ and ‘Transportation’ segments.

The cost of living index continued in the deflation territory for the fourth straight month (-1.9% y-o-y; flat m-o-m) in April. The ‘Housing, Water, Electricity, Gas’ and the ‘Furnishings and Household Equipment’ sectors (together constituting 34% of the index) weighed on the index.