CAIRO - 10 June 2026: Egypt’s economy is expected to grow by 3.6 percent in FY26, before recovering to 4.7 percent in FY27 as macroeconomic conditions gradually improve and reform momentum continues, according to Standard Chartered.
Speaking during the bank’s Global Research Briefing, attended by Egypt Today, the lender said the FY26 forecast reflects near-term domestic and external pressures, while the medium-term outlook points to a clearer recovery path.
Standard Chartered said the expected improvement in FY27 will be supported by easing inflationary pressures, continued structural reforms, and gradual macroeconomic stabilization.
The bank highlighted Egypt’s strategic geographic position as a key long-term advantage, positioning it as a regional hub linking the Middle East, Africa, Asia, and Europe, alongside a diversified economic base.
On monetary policy, Standard Chartered expects interest rates to decline gradually through 2028 as inflation stabilizes, supporting credit growth and private sector activity.
It also noted that inflation is expected to remain elevated in the near term before gradually easing over the medium term, in line with broader macroeconomic normalization.
Mohammed Gad, Chief Executive Officer and Head of Coverage, Standard Chartered Egypt, said Egypt remains one of the region’s most strategically important and diversified economies, supported by its scale, location, and long-term reform agenda.
He added that while near-term pressures persist, the medium-term trajectory remains positive, supported by improving inflation dynamics and continued reforms.
Standard Chartered said the combination of stabilization efforts, reform momentum, and Egypt’s strategic position is expected to enhance investor confidence and support growth over the coming years.
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