Saudi Arabia continues to use measures to tackle rising inflation that hit 10.4 percent in May, the kingdom's King Abdullah was quoted as saying.

'There are plans that guarantee controlling inflation... and this is by using the cash windfall the kingdom enjoys in its right place,' newspaper Al-Seyassah quoted the ruler of the world's largest oil exporter as saying.

He added that the kingdom has 'the appropriate solutions' to offset the increasing prices of basic food products.

King Abdullah did not say what are the measures the kingdom is taking to curb inflation.

Inflation is a key challenge across the Gulf Arab region, where currencies are pegged to the dollar as their economies surge on windfall revenues from record oil prices. - Reuters