RIYADH: Saudi inflation accelerated to 6.2 percent in June, the highest this year, driven by the cost of fuel and food.
It compares to 5.7 percent in May, according to data from the General Authority for Statistics (GSTAT) published on Thursday.
Transport prices gained 22.6 percent and food and beverages prices rose by 8.1 percent, the national statistics body said.
Consumer prices still reflect an increase of the value added tax (VAT) from 5 percent to 15 percent in July 2020.
“Looking ahead, the headline inflation rate is likely to peak in June at around 6.3 percent year-on-year,” James Swanston, Middle East and North Africa economist at London-based Capital Economics, said in a research note, last month.
Saudi Arabia announced a price cap on fuel on Saturday, to support local consumption and economy growth, as oil prices hit multi-year highs this year.
The Kingdom issued a royal directive to keep fuel prices at SR2.18 ($0.58) for octane 91 and SR2.33 for octane 95, SPA reported, citing the Energy and Water Price Reforms Executive Committee.
Fuel and food prices push June Saudi inflation to highest this year
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Fuel and food prices push June Saudi inflation to highest this year
- Consumer prices still reflect an increase of the value added tax (VAT) from 5 percent to 15 percent in July 2020
Stc Group issues US dollar-denominated sukuk with a total value of $2bn
RIYADH: Stc Group has issued US dollar-denominated sukuk with a total value of $2 billion across two tranches.
The group clarified that the issuance included the offering of $750 million in sukuk with a 5-year maturity at a yield of US Treasury plus 75 basis points, and an issuance of $1.250 billion with a 10-year maturity at a yield of UST plus 90 basis points, according to the Saudi Press Agency.
It noted that the total order book exceeded $8 billion across both tranches, with a coverage rate exceeding 4 times, and participation from over 300 investors in the subscription.
The issuance garnered strong demand from a broad and diverse base of international investors, reflecting solid confidence in the robustness and efficiency of stc Group’s business model and strategy.
This strategy is aimed at strengthening its digital leadership, seizing infrastructure opportunities, enabling massive projects, and contributing to the realization of Vision 2030 objectives, with a focus on achieving sustainable growth based on operational efficiency and maximizing shareholder value.
This issuance enhances stc Group’s access to international capital markets and solidifies investor confidence in the strength of its credit position.
It also supports its strategic role in accelerating the pace of digital transformation in the Kingdom and building a thriving digital economy.
