Consumer Price Inflation Accelerates to 38% in Egypt
Rising to 38% in September 2023, consumer price inflation is running across the streets in Egypt amidst growing economic uncertainties spurred by multiple pressures.
The country’s annual urban consumer price inflation rose from 37.4% in August and topped analyst expectations, data Central Agency for Public Mobilization and Statistics show. This was Egypt’s fourth consecutive month of record highs.
The median forecast of 18 analysts polled this week had shown annual urban consumer inflation rising to 37.6% in September. The previous high of 32.95% was recorded in July 2017.
A steep rise in money supply over the last two years has helped prices to climb rapidly and the currency to lose almost half its value against the U.S. dollar since March 2022.
Egyptian pound woes worsened after external funding from the International Monetary Fund. The terms and conditions for the disbursement of the fund required Egypt to reform the economy and depreciate Egyptian Pounds.
Amidst sloppy economic performance, a large number of Egyptians have seen their living standards slide as costs side continue to worsen.
The Egyptian government said on Monday it had agreed with private producers and retailers to cut prices on staple foods by 15-25% and exempt them from customs duties for six months. #Consumer Price Inflation Accelerates to 38% in Egypt