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UAE, India, and China among top destinations for KSA’s non-oil goods

Saudi Arabia exported chemical products worth SR1.34 billion, while outbound shipments of plastic and rubber products were valued at SR449.6 million, the General Authority for Statistics said. (SPA)
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Updated 25 January 2025
Nirmal Narayanan
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UAE, India, and China among top destinations for KSA’s non-oil goods

  • Strengthening the sector is one of the crucial goals outlined in Vision 2030 initiative
Updated 25 January 2025
Nirmal Narayanan

RIYADH: The UAE was the leading destination for Saudi Arabia’s non-oil exports in November, with outbound shipments to the Emirates reaching SR7.17 billion ($1.87 billion) in what was a 22.35 percent month-on-month rise.

According to the General Authority for Statistics, the Kingdom exported machinery and mechanical appliances valued at SR3.15 billion to the UAE in November, followed by transport parts and precious metals at SR2.03 billion and SR404.7 million, respectively. 

In October, Saudi Arabia’s non-oil shipments to the UAE amounted to SR5.86 billion, while it was SR6.54 billion and SR6.78 billion in September and August, respectively. 

Saudi Arabia also exported plastic and rubber products worth SR330 million in November, while outbound shipments of chemical products totaled SR319 million. 

Strengthening the non-oil sector is one of the crucial goals outlined in Saudi Arabia’s Vision 2030 agenda, as the Kingdom is steadily diversifying its economy by reducing its dependence on crude revenues. 

Affirming the growth of Saudi Arabia’s non-oil private sector, the Kingdom’s Purchasing Managers’ Index reached 58.4 in December, marking a slight decline from a 17-month high of 59 in the previous month, according to the Riyad Bank Saudi Arabia PMI survey compiled by S&P Global. 

Any PMI readings above 50 indicate growth of the non-oil private sector, while readings below the number signal contraction. 

Underscoring the progress of Saudi Arabia’s non-energy sector, the Kingdom’s PMI has remained above the 50 growth mark continuously since September 2020. 




China held the third spot for Saudi Arabia’s non-oil exports. (SPA)

Saudi Arabia’s PMI in December is also the highest among its Middle East neighbors. 

The Kingdom’s Arab neighbors UAE posted a PMI of 55.4 in December, with Kuwait registering 54.1, and Qatar on 52.9. 

Speaking at the World Economic Forum in Davos earlier this month, Saudi Arabia’s Finance Minister Mohammed Al-Jadaan said that the Kingdom’s commitment to economic diversification under Vision 2030 was driving steady growth, with the growth of non-oil gross domestic product being prioritized over traditional oil revenues. India was another major destination for Saudi Arabia’s non-energy goods in November, with exports amounting to SR2.52 billion, representing a 19.43 percent increase compared to the previous month. GASTAT revealed that Saudi Arabia exported chemical products worth SR1.34 billion, while outbound shipments of plastic and rubber products were valued at SR449.6 million, and base metals amounted to SR324.5 million.

The Kingdom also exported precious stones and metals amounting to SR324.5 million in November to India. 

China held the third spot for Saudi Arabia’s non-oil exports, with the Asian giant receiving inbound shipments from the Kingdom valued at SR2.17 billion in November, marking a month-on-month decline of 7.65 percent.  Other top destinations for Saudi Arabia’s non-hydrocarbon goods were Singapore, with a value of SR1.23 billion; Turkiye at SR960.4 million, and Bahrain at SR929.7 million.

Egypt received non-energy products amounting to SR868.4 million in November, while exports to the US and Jordan totaled SR772.8 million and SR642.6 million, respectively. 

Overall, Saudi Arabia’s non-oil exports witnessed an annual rise of 19.7 percent in November, reaching SR26.92 billion. 

Speaking at the World Investment Conference in November, Saudi Arabia’s Minister of Economy and Planning Faisal Al-Ibrahim said that non-oil activities account for 52 percent of the Kingdom’s gross domestic product. 




Saudi Minister of Economy and Planning Faisal Al-Ibrahim said non-oil activities account for 52% of KSA’s GDP. (AFP)

The minister added that the Kingdom’s non-oil economy has been growing at 20 percent since the launch of the Vision 2030. In November, Saudi Arabia exported non-energy goods worth SR16.76 billion via sea, while outbound shipments via land and air totaled SR4.99 billion and SR5.17 billion, respectively.

King Fahad Industrial Sea Port in Jubail was the main exit point for Saudi Arabia’s non-hydrocarbon products with goods valued at SR3.39 billion.

Jeddah Islamic Sea Port and Jubail Sea Port also handled outbound shipments worth SR3.35 billion and SR1.91 billion, respectively. 

In terms of exit points via land, Al Bat’ha Port handled goods valued at SR1.85 billion, while products worth SR696.4 million passed through Al Hadithah Port.

Among airports, King Khalid International Airport in Riyadh handled outbound shipments worth SR2.79 billion, while King Abdulaziz International airport processed non-energy goods amounting to SR1.99 billion. 

In December, a report released by Mastercard Economics also underscored the robust expansion of Saudi Arabia’s non-oil activities.

The analysis said that the Kingdom’s GDP is expected to witness an expansion of 3.7 percent year on year in 2025, driven by a rise in the Kingdom’s non-oil activities.

The Mastercard report added that economic diversification efforts in the Kingdom will continue in 2025 as the government leverages strong balance sheets to finance investment in infrastructure.

Overall merchandise exports

GASTAT revealed that Saudi Arabia’s overall merchandise exports witnessed a decline of 4.69 percent in November 2024 compared to the same month in 2023, reaching SR90.54 billion. 

The authority said this fall in overall exports was due to a 12.3 percent decrease in oil exports. 

“Consequently, the percentage of oil exports out of total exports decreased from 76.3 percent in November 2023 to 70.3 percent in November 2024,” said GASTAT. 

In November, Saudi Arabia’s overall merchandise exports to China stood at SR13.53 billion, followed by Japan at SR8.93 billion, the UAE at 8.75 billion and India at SR8.74 billion. 

The flow of Saudi exports to China signifies strong bilateral relations between both nations, with the Kingdom being the largest trading partner of China in the Middle East since 2001. 

The Kingdom and Saudi Arabia are also strategic partners in various other sectors like energy and finance, as well as the Belt and Road Initiative. 

South Korea received goods worth SR8.34 billion in November, while the Kingdom’s exports to the US stood at SR3.72 billion, to Singapore at SR3.34 billion, and SR2.85 billion going to Malaysia.

Imports in November

According to GASTAT, Saudi Arabia’s overall imports in November were valued at SR73.65 billion, marking a rise of 13.9 percent compared to the same month in the previous year. 

Saudi Arabia imported goods worth SR20.11 billion from China, led by mechanical appliances and electrical equipment valued at SR9.99 billion.

The Kingdom also imported transport equipment and base metal products amounted to SR2.56 billion and SR1.89 billion, respectively.

China was closely followed by the US and UAE with the Kingdom welcoming goods from these nations valued at SR7.52 billion and SR3.90 billion, respectively in November. 

The Kingdom also imported goods worth SR3.22 billion from Germany and SR3.14 billion from India. 

Japanese imports to Saudi Arabia amounted to SR2.83 billion, while inbound shipments from Italy and Switzerland stood at SR2.58 billion and SR2.40 billion, respectively.

According to GASTAT, imports worth SR44.25 billion entered Saudi Arabia via sea, while inbound shipments valued at SR20.47 billion and SR8.65 billion came via air and land, respectively. 

King Abdulaziz Sea Port in Dammam was the primary entry point for goods in September through sea in November, with imports valued at SR18.19 billion, representing 24.7 percent of the total inbound shipments. 

The authority added that Jeddah Islamic Sea Port handled incoming shipments valued at SR17.58 billion, followed by Ras Tanura Sea Port at SR3.24 billion. 

Through land, Al Bat’ha Port and Riyadh Dry Port processed incoming goods valued at SR3.89 billion and SR2.66 billion, respectively.

Through air, King Khalid International Airport in Riyadh welcomed inbound shipments worth SR10.94 billion in November. 

King Abdulaziz International Airport and King Fahad International Airport also handled imports valued at SR5.11 billion and SR4.27 billion, respectively.

Topics: Saudi Arabia non-oil exports

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Global sustainable bond issuance to reach $1tn in 2025: Moody’s

Updated 26 January 2025
REEM WALID 
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Global sustainable bond issuance to reach $1tn in 2025: Moody’s

  • Impending maturity wave is set to escalate, signifying additional refinancing requirements alongside regular issuance goals
  • Moody’s said ESG risks this year will be influenced by policy decisions and financing.
Updated 26 January 2025
REEM WALID 

RIYADH: Global sustainable bond issuance is projected to reach $1 trillion in 2025, driven by a worldwide focus on green development, according to global credit rating agency Moody’s.

In their latest report, the New York-based firm said that increased examination of greenwashing, changes in market norms and regulations, and a more intricate landscape, which includes political challenges in certain nations, are expected to impede growth.

This aligns with the green bond market, which has advanced a decade beyond the international treaty on climate change that was signed in 2016, known as the Paris Agreement. The market provides a boost to the sector as initial issuances are gradually approaching maturity. 

The impending maturity wave is set to escalate this year and 2026, signifying additional refinancing requirements alongside regular issuance goals, according to capital market firm AXA Investment Managers.

“We expect global sustainable bond issuance to total $1 trillion in 2025, in line with 2024. Social bonds will be constrained by a lack of benchmark-sized projects, while transition-labeled bonds and sustainability-linked bonds will remain niche segments as they navigate evolving market sentiment,” Moody’s report said.

“A continued focus on climate mitigation financing, as well as growing interest in climate adaptation and nature, will spur green and sustainability bond issuance,” it added. “Meanwhile, the widening gaps between decarbonization ambitions and implementation will be brought into focus by the contrast of fresh pledges and increasingly destructive climate events.”

Regarding the outlook on environmental, social, and governance factors, Moody’s said the risks this year will be influenced by policy decisions and financing.

“Companies will encounter challenges in handling environmental and social risks within their supply chains. Additionally, technological disruptions, climate change, and demographic shifts could exacerbate social risks and pose policy obstacles for governments,” the agency added.

In November, Moody’s said that global issuance of sustainable bonds in the third quarter of last year reached $216 billion, marking a 9 percent annual increase.

It said at the time that the year-on-year increase in green, social, sustainability, and sustainability-linked bonds came despite a quarter-on-quarter drop, with the volume issued down 14 percent in the three months to the end of September compared to the preceding period. 

For the first nine months of 2024, sustainable bond volumes reached $769 billion, marking a 3 percent decline compared to the same period last year. 

Despite the quarterly dip, Moody’s forecasted that the total sustainable bond volumes will reach $950 billion in 2024 “buoyed by relatively robust volumes in the first half of the year and continued issuer appetite for funding environmental and social projects with labeled bonds.”

Topics: Moody’s bonds Sustainable Bond Market green bonds Greenwashing sustainable bonds

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Saudi-based Walaa Cooperative Insurance Co. maintains ‘A-’ rating: S&P Global
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Saudi benchmark index inches up 0.26% to close at 12,386

Updated 26 January 2025
Reem Walid
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Saudi benchmark index inches up 0.26% to close at 12,386

Updated 26 January 2025
Reem Walid

RIYADH: Saudi Arabia’s Tadawul All Share Index rose on Sunday, gaining 32.12 points, or 0.26 percent, to close at 12,386.16.

The total trading turnover on the benchmark index reached SR5.11 billion ($1.36 billion), with 161 stocks advancing and 69 retreating.

The Kingdom’s parallel market, Nomu, also saw a modest gain, rising 49.70 points, or 0.16 percent, to close at 30,896.29, as 49 stocks advanced and 42 declined.

The MSCI Tadawul Index closed up by 2.01 points, or 0.13 percent, finishing at 1,545.39.

Kingdom Holding Co. emerged as the day’s top performer, with its share price surging 9.80 percent to SR10.20. Other notable performers included Al-Baha Investment and Development Co., which rose 9.30 percent to SR0.47, and Saudi Fisheries Co., whose share price jumped 7.84 percent to SR24.28.

On the downside, Al-Jouf Cement Co. recorded the largest drop, falling 3.57 percent to SR12.44. Arabian Pipes Co. also saw its stock decline by 2.50 percent, closing at SR13.26, while Rasan Information Technology Co. dropped 1.94 percent to SR90.80.

On the announcements front, Al-Baha Investment and Development Co. announced its annual financial results for the period ending Dec. 31. The company reported a net profit of SR8.37 million for 2024, a 69.48 percent increase compared to 2023. The growth was primarily driven by a 13 percent rise in revenues, a 98 percent drop in zakat provisions, a 39 percent reduction in financing costs, and a decline of SR1.18 million in investment properties.

Al-Moammar Information Systems Co. has signed a SR58.6 million contract with the Saudi Authority for Data and Artificial Intelligence to enhance the AI network through software and services.

According to a bourse filing, the 36-month deal is expected to generate positive financial impacts starting in Q1 2025. The stock closed at SR160.40, up 0.51 percent.

Al-Sagr Cooperative Insurance Co. received an Insurer Financial Strength Rating of “BBB” and a National IFS Rating of “A+” with a stable outlook from Fitch Ratings.

The ratings reflect Al-Sagr’s strong capitalization, solid financial performance, and well-diversified insurance portfolio, despite its moderate operating scale within the Saudi insurance market. Al-Sagr’s stock closed at SR18.10, up 3.20 percent.

Topics: TASI NOMU MSCI

Saudi-based Walaa Cooperative Insurance Co. maintains ‘A-’ rating: S&P Global

Updated 26 January 2025
NOUR EL-SHAERI   
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Saudi-based Walaa Cooperative Insurance Co. maintains ‘A-’ rating: S&P Global

  • S&P expects Walaa to maintain this level of capital adequacy over the next two years
  • It also expects the company to gradually improve its combined ratio to about 98% in 2025—2026
Updated 26 January 2025
NOUR EL-SHAERI   

RIYADH: Saudi Arabia’s Walaa Cooperative Insurance Co. maintained its “A-” long-term insurer financial strength rating by S&P Global, with a stable outlook. 

The New York-based credit rating agency also affirmed its “gcAAA” long-term Gulf Cooperation Council regional scale rating and “ksaAAA” long-term Saudi national scale assessment for Walaa, highlighting the insurer’s capital position and planned business growth initiatives. 

This comes as the company completed an SR468 million ($124.8 million) rights issue in December 2024, initially announced in September 2023. 

The additional capital will support the firm’s growth strategy and enhance its regulatory solvency margin. 

S&P said Walaa’s capital adequacy exceeded its 99.99 percent confidence level before the reserve increase, with the recent capital injection further strengthening the company’s financial stability. 

The rating agency expects Walaa to maintain this level of capital adequacy over the next two years, underpinning its stable outlook. 

The firm’s stock price has already seen a significant 5.26 percent increase by 2:20 p.m. Saudi time to reach SR24. 

Despite its strong capital position, Walaa’s operating performance has lagged behind similarly rated peers, according to S&P. 

At the end of the third quarter of last year, the company ranked as the fifth largest insurer in the Kingdom, with insurance revenue reaching SR2.4 million and a growth rate of 17 percent. 

However, the insurer faced challenges in profitability, driven by its medical insurance segment.

The combined ratio — a key measure of underwriting performance — stood at 101 percent for the third quarter of 2024, compared to 98 percent during the same period the previous year. 

While the motor insurance segment, which experienced losses between 2021 and 2023, returned to profitability in 2024, reporting a service result of SR18 million for the third quarter, Walaa’s medical insurance business posted a significant loss of SR85 million during the same period. 

This marks a sharp decline from the SR4 million loss recorded in the third quarter of 2023. The company plans to expand its medical insurance segment over the next two years, aiming for breakeven by the year’s end. 

S&P said the goal may be challenging due to the competitive and concentrated nature of the medical insurance market in Saudi Arabia, which is projected to reach $4.33 billion this year, according to German online data gathering platform Statista. 

The medical segment is dominated by The Co. for Cooperative Insurance and Bupa Arabia for Cooperative Insurance, which collectively accounted for 76 percent of market revenue and most of the segment’s profitability in the third quarter of 2024, according to S&P. 

Walaa’s ability to achieve breakeven in this segment will play a critical role in the recovery of its overall performance. 

S&P expects Walaa to gradually improve its combined ratio to about 98 percent in 2025— 2026 as it continues to diversify its business and recover its operating performance. 

The agency also flagged potential risks, including the possibility of a negative rating action if Walaa’s underwriting performance is weaker than its local and regional peers or if its capital adequacy falls below the 99.95 percent confidence level. 

S&P views the likelihood of a rating upgrade as limited during the outlook period. Any positive rating action would depend on Walaa’s ability to significantly increase and diversify its premium income without impairing operating performance, while maintaining capital adequacy at the 99.99 percent confidence level and a low-risk investment portfolio. 

Topics: Walaa Cooperative Insurance Co. S&P Global

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World leaders to attend Saudi Real Estate Future Forum 2025 for industry-shaping discussions

Updated 26 January 2025
MIGUEL HADCHITY 
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World leaders to attend Saudi Real Estate Future Forum 2025 for industry-shaping discussions

  • Event will gather over 300 speakers from 85 countries to lead discussions on the direction of real estate
  • Key themes and sessions at RFF 2025 will encompass various topics, with over 30 high-level dialogue events and 25 in-depth workshops
Updated 26 January 2025
MIGUEL HADCHITY 

RIYADH: The Real Estate Future Forum is set to serve as a global hub for industry leaders, policymakers, and investors as Saudi Arabia transitions toward a diversified and innovation-driven economy.

The event will be held from Jan. 27— 29 at the Four Seasons Hotel in Riyadh and will gather over 300 speakers from 85 countries to lead discussions on the direction of real estate.

Under the theme “Future for Humanity: Shaping Dreams into Reality,” RFF 2025 will focus on innovations, sustainability efforts, and investment strategies reshaping the global property market.

This year’s edition will also spotlight the Middle East’s $1 trillion real estate pipeline, which is driving changes in urban development and creating new regional economic opportunities.

 

Saudi Arabia at the forefront of real estate evolution

The Kingdom’s Vision 2030 reforms have positioned the country as a leader in real estate development, combining innovation, sustainability, and economic growth. 

Forum participants will get an in-depth look at major projects, including NEOM, The Red Sea Project, and Diriyah Gate, and their economic impact and long-term sustainability.

The discussions will provide insights into how these initiatives are influencing the broader real estate landscape.

A $1 trillion opportunity for global transformation

With the Middle East witnessing an unprecedented wave of urban expansion, the real estate sector has immense opportunities and critical responsibilities.

 

This year’s forum will highlight how key stakeholders can leverage digital transformation, sustainable construction, and strategic investments to build cities that are economically viable, environmentally responsible, and socially inclusive.

Benjamin Deschietere, managing director and partner at Boston Consulting Group, underscored the urgency of sustainability in real estate development.

“The Middle East’s $1 trillion real estate pipeline offers a once-in-a-generation opportunity to rethink how we design and build our communities,” he told Arab News.

“With buildings accounting for more than one-third of global greenhouse gas emissions, decisions made today in the region’s transformative mega-projects will impact generations and have the potential to influence global standards for decades,” he added.

Deschietere said that sustainability in design, the use of greener materials, and advancements in construction and procurement practices are essential rather than optional. 

He said cities built with these principles would be more resource-efficient, livable, and valuable in the long term, adding that developers who adopt these approaches would gain a significant competitive edge in the coming decades

Benjamin Deschietere, managing director and partner at Boston Consulting Group. Supplied

A holistic approach to sustainability and innovation

RFF 2025 will focus on environmental sustainability and social and economic resilience. With the Kingdom’s target of developing 1 million new housing units by 2030, the forum will discuss how sustainable urbanization can drive affordability, job creation, and social equity.

Edoardo Geraci, managing director and partner at BCG, told Arab News of the need for a paradigm shift. “Traditional real estate has often prioritized growth over sustainability, but the future demands a more holistic approach.”

He added that beyond reducing carbon emissions, sustainable development must also consider social outcomes, such as inclusivity, affordability, and job creation. 

“Passive design principles and smart building technologies already enable a reduction of lifecycle carbon emissions by up to almost 40 percent, offering significant cost savings over time,” the expert said.

Geraci also said the Middle East has a distinct chance to demonstrate how well-planned urban development can improve the quality of life, restore natural resources, and establish new standards for sustainable and resilient cities on a global scale.

Edoardo Geraci, managing director and partner at Boston Consulting Group. Supplied

RFF 2025 themes and sessions 

Key themes and sessions at this year’s forum will encompass various topics, with over 30 high-level dialogue events and 25 in-depth workshops. 

Discussions on smart cities and digital transformation will explore the role of artificial intelligence and blockchain in real estate transactions and homeownership, innovations in smart buildings and urban infrastructure, and the impact of big data on market forecasting and investment strategies. 

Sustainable real estate and green building innovations will be another focal point, addressing the shift toward net-zero developments and green architecture, sustainable financing models for eco-friendly projects, and case studies from leading sustainable cities and giga-projects. 

Real estate investment and financing trends will be examined, with insights into alternative financing models for large-scale undertakings, the impact of global economic shifts on Middle Eastern real estate markets, and future trends in institutional investment and private sector involvement. 

 

The forum will also highlight the role of giga-projects in economic growth, offering perspectives from key players behind NEOM, The Red Sea Project, and Diriyah Gate, while discussing how these developments are shaping tourism, hospitality, urban living, the intersection of real estate, entertainment, and sports infrastructure.

RFF 2025 will provide an outlook on integrating advanced technologies into the real estate sector. Panels will dive into emerging trends like virtual reality for property marketing, the role of the metaverse in digital real estate, and the use of robotics and 3D printing in construction. The implications of these technologies for efficiency, cost savings, and consumer experiences will be examined.

Another focus will be community-centered urban planning and sessions will address the importance of inclusivity and accessibility in development projects, exploring how innovative housing models and mixed-use initiatives can enhance quality of life and foster social and economic prosperity. 

The forum will also discuss sustainable procurement practices and supply chain transformation, offering insights into minimizing waste and achieving carbon neutrality in mega-projects. 

 

The three-day event is set to feature a distinguished lineup of speakers, including government officials, global investors, and media personalities who will provide valuable insights into industry-shaping trends. 

Notable speakers include Majid Al-Hogail, Saudi minister of municipalities and housing; Turki bin Talal, governor of Asir region; Saud bin Talal, governor of Al-Ahsa; former US President Bill Clinton; international media influencer Piers Morgan; and global media commentator Tucker Carlson. 

With Vision 2030 strongly supporting tourism and lifestyle projects, discussions will explore how cultural preservation and modern innovation coexist in urban developments. 

Sessions will delve into the design of projects such as New Murabba and Trojena in NEOM, examining how these ventures are redefining the Kingdom’s global image while fostering sustainable growth. 

Insights into the transformative impact of major sporting and entertainment events on real estate demand and city planning will highlight the sector’s potential to drive broader socio-economic change.

 

A platform for transformative deals and partnerships

The 2024 edition of RFF saw over 50 agreements worth SR100 billion ($26.6 billion) signed, driving investment in key real estate projects. 

The 2025 forum is expected to eclipse those numbers, offering an even greater platform for deal-making, policy announcements, and strategic partnerships.

A Glimpse into the Future

The Kingdom’s real estate sector is on the cusp of a technological and financial revolution driven by digital transformation, sustainable design, and forward-thinking policies. 

As Vision 2030 continues to guide the nation toward an economically diversified and innovation-driven future, RFF 2025 will serve as a platform for international investors, developers, and policymakers looking to tap into the region’s potential.

RFF 2025 will offer various opportunities for networking, collaboration, and sharing expertise, making it a key event in the ongoing development of the global real estate industry.

Topics: RFF2025 Real Estate Future Forum Saudi Arabia real estate SAUDI REAL ESTATE

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Oman’s inflation rate edges up 0.7% in December

Updated 26 January 2025
Reem Walid
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Oman’s inflation rate edges up 0.7% in December

Updated 26 January 2025
Reem Walid

RIYADH: A rise in the prices of several categories of consumer products pushed Oman’s annual inflation rate up by 0.7 percent in December compared to base year 2018, according to new data.

The rise in inflation was driven by increases in several key categories, including miscellaneous goods and services, which surged by 4.5 percent, health services by 3.2 percent, and food and non-alcoholic beverages by 1.7 percent, according to the National Center for Statistics and Information reported. 

Food and non-alcoholic beverages saw a 1.7 percent price hike, while the restaurant and hotel group rose by 0.8 percent. Other sectors, including culture and entertainment, clothing and footwear, and furniture and household maintenance, also experienced minor price increases. 

Despite this, Oman’s inflation remains among the lowest in the region, as the government has implemented measures to contain price rises. This effort has been supported by prudent fiscal policies, high oil prices, and growth in non-hydrocarbon exports. 

These factors helped the country achieve a 6.2 percent budget surplus and a 2.4 percent current account gain in 2024. 

The latest CPI data also highlighted specific price hikes in food categories. Vegetables saw a significant 7.6 percent increase, followed by milk, cheese, and eggs at 3.8 percent. 

Other food products not categorized elsewhere rose by 3.7 percent, while sugar, jam, honey, and sweets increased by 2.8 percent. Meat prices were up 2.6 percent, fruits rose by 2.2 percent, and oils and fats climbed by 1.6 percent. 

On the downside, transportation costs fell by 0.8 percent, non-alcoholic beverages dropped by 0.5 percent, and fish and seafood prices plunged by 6.3 percent. Prices in the housing, water, electricity, gas, and other fuels sectors remained stable, as did communications and tobacco prices.  

For 2025, Oman projects a modest 2.7 percent growth in gross domestic product, while IMF projections released earlier this month point to a more optimistic 3.1 percent expansion. The inflation rate has been easing in recent months, declining to 0.6 percent during the first 10 months of 2024, down from 1.0 percent in 2023.

Topics: Oman Inflation

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