Contribution of inflation- File Photo via Mubasher Trade
CAIRO – 11 June 2017: Egypt’s annual inflation is forecasted to continue decreasing moderately over the coming months, a research note of Mubasher International said Sunday.
The inflation decline can however be interrupted by anticipated price increase in July, which marks the full implementation of the value-added tax and potential subsidies reform, Mubasher economist Esraa Ahmed said.
Decreasing for the first time since the Egyptian pound’s flotation in November, the inflation is predicted to significantly drop in November 2017, according to Ahmed.
Egypt’s annual urban inflation declined to 30.9 percent in May, compared to 32.06 percent by the end of April.
The urban consumer inflation also fell to 29.7 percent in May year-on-year, down from 31.5 percent in April, the Central Agency for Public Mobilization and Statistics (CAPMAS) said.
The food and beverage basket hiked 1.9 percent in May on the monthly level, while it leaped 41.6 percent on the annual level. Also, the Consumer Price Index (CPI) hiked 1.6 percent in May, compared to 1.8 percent in April and 2.1 percent in March.