CAIRO – 12 April 2017: The Arab Monetary Fund says that it expects the Egyptian economy to grow by four percent in 2017 and by 4.4 percent in 2018, in its April edition of the “Arab Economic Outlook” report released today.
The report says that economic performance can see signs of improvement in 2017 on the back of some factors, most importantly the increase in global demand and trade, the
Egyptian government’s economic reform program that aims at boosting growth and the easing of a foreign currency crisis.
These factors, the report says, will help increase confidence in the Egyptian economy and boost investment as well as exports.
However, the reform program is expected to curb household consumption as a result of a significant increase in prices following the Central Bank’s decision to float the pound in November last year.
The flotation has also negatively affected the industry sector as a result of a surge in production costs, the report adds.
Minister of Finance Amr El-Garhy’s revised his forecast for growth for the fiscal year 2016/2017 to put at 3.8 per cent.
Egypt’s economy has been suffering ever since the revolution in 2011 and the government has embarked on a fiscal reform program in 2014 to revive the faltering economy.