Egypt’s annual inflation hits 6.8% in January: CAPMAS

CAIRO – 10 February 2020: Egypt’s annual consumer price inflation recorded 6.8 percent in January 2020, compared to 12.2 percent in January 2019, state-statistics body said Feb. 10.

Inflation remains within the Central Bank of Egypt’s (CBE) target range of 9 percent, plus or minus 3 percentage points.

On a monthly basis, inflation increased 0.8 percent in January, recording 105.2 points, the Central Agency for Public Mobilization and Statistics (CAPMAS) said.

CAPMAS attributed the increase in inflation to the hike in prices of some commodities during the month, as meat and poultry prices rose by about 5.3 percent, vegetables by 5 percent, of mineral and carbonated water and natural juices by 0.6 percent, the health care by 0.5 percent, and restaurant and hotel by 0.3 percent.

It also referred to the decrease in the prices of the fruits by 1.8 percent and other food products by 0.2 percent.

At the urban level, the annual inflation rate for January 2020 rose to 7.2 percent, up from 7.1 percent in December.

On Saturday, Cabinet's media center revealed Egypt's average inflation rate recorded 9.2 percent in 2019 compared to 14.4 percent in 2018.

The International Monetary Fund (IMF) expected Egypt’s inflation to reach 14 percent in 2019 and 7 percent in 2023.

Inflation surged in Egypt since the flotation of the Egyptian pound in November 2016, reaching a high record level in July due to energy subsidy cuts, and gradually easing since July.