Saudi Arabia’s ICT spending surges 20% to $11bn

RIYADH: Saudi Aramco has significantly raised its crude oil prices for Asian customers in March, reaching their highest levels in over a year.

This price hike comes as a result of rising benchmark prices, driven by increased demand from China and India, as well as supply disruptions due to US sanctions on Russian oil.

According to an official statement, the official selling price for the benchmark Arab Light crude has been increased by $2.40 per barrel. For March, the price for Asian buyers has been set at $3.90 per barrel above the regional benchmark.

Other grades also saw price hikes, with the OSP for Arab Extra Light and Super Light increasing by $2.40 and $2.10 per barrel, respectively. The OSP for Arab Medium crude was raised by $2.50 per barrel, while the price for Arab Heavy crude went up by $2.60 per barrel.

For North America, Aramco has set the March OSP for Arab Light crude at $3.80 per barrel above the Argus Sour Crude Index.

Earlier this week, OPEC+ members reaffirmed their commitment to maintaining stability in the global oil market through production cuts. The 58th Joint Ministerial Monitoring Committee session, conducted via videoconference, reviewed crude oil production data for November and December 2024 and highlighted strong compliance by both OPEC and non-OPEC countries involved in the Declaration of Cooperation.

The committee reiterated its commitment to the DoC, which is set to extend through the end of 2026. It also commended Kazakhstan and Iraq for their improved compliance, including voluntary production adjustments.

OPEC also welcomed renewed pledges from overproducing countries to fully comply with production targets.

Saudi Aramco produces five grades of crude oil: Super Light, Arab Light, Arab Extra Light, Arab Medium, and Arab Heavy. These grades are differentiated by their density. Super Light has a density greater than 40, Arab Extra Light ranges from 36 to 40, Arab Light falls between 32 and 36, Arab Medium is between 29 and 32, and Arab Heavy has a density of less than 29.

Saudi Aramco typically releases its crude OSPs around the 5th of each month, setting the price trend for other major producers, including Iran, Kuwait, and Iraq. These price benchmarks affect approximately 9 million barrels per day of crude oil shipments to Asia.

RIYADH: Qatar’s annual inflation rate eased to 0.24 percent in December, marking a slowdown from the 0.95 percent recorded in the previous month, according to the Consumer Price Index data.

The latest figures released by the National Planning Council revealed that the December figure represents the second-lowest inflation rate of the year, following the 0.22 percent recorded in July, while January posted the highest rate at 2.99 percent.

Qatar’s inflation rate in December remained lower than that of its regional peers. Saudi Arabia recorded 1.9 percent, the lowest among G20 nations but higher than Qatar, while Oman’s 0.4 percent rate in September was still above Qatar’s latest figure.

On a month-on-month basis, the general CPI rose by 0.87 percent in December, reaching 110.24 points compared to 109.29 in November. The price rise was driven by increases in several sectors, though declines in key categories helped keep overall inflation subdued.

Compared to November, five major categories saw price increases in December. The recreation and culture sector saw the highest rise at 8.84 percent, followed by restaurants and hotels at 1.50 percent.

Clothing and footwear rose by 0.66 percent, education by 0.55 percent, and furniture and household equipment by 0.16 percent. 

Meanwhile, declines were recorded in four key sectors. Food and beverages saw a decrease of 2.11 percent, while housing, water, electricity, and other fuels fell 0.83 percent. 

Transport prices fell by 0.65 percent, and miscellaneous goods and services saw a slight decline of 0.23 percent. Three sectors — tobacco, health, and communication — remained unchanged compared to the previous month. 

Over a 12-month period, prices increased across multiple sectors. The miscellaneous goods and services category recorded the largest increase at 6.56 percent, followed by communication at 4.44 percent and recreation and culture at 2.54 percent.

Moreover, restaurants and hotels saw an increase of 2.32 percent, education at 1.69 percent, transport at 1.38 percent, and clothing and footwear at 0.55 percent. 

At the same time, four major sectors experienced annual price declines. Housing, water, electricity, and other fuels dropped by 4.23 percent, while food and beverages decreased by 1.05 percent. 

Furniture and household equipment saw a 1.51 percent decline, and health services recorded a 1.01 percent decrease. The tobacco sector saw no price changes on a year-on-year basis. 

Qatar’s average inflation rate for the full year 2024 stood at 1.13 percent, marking a continued downward trend from 2.85 percent in 2023 and 5 percent in 2022.

The CPI, excluding housing, water, electricity, and other fuels, reached 115.32 points in December, representing a 1.24 percent monthly increase from November and a 1.23 percent year-on-year rise.