Egypt Inflation Rate Lowest In More Than 2 Years

Urban consumer prices in Egypt increased 7.9 percent year-on-year in August of 2015, down from 8.4 percent in the previous month. It is the lowest level since March of 2013 as impact of fiscal consolidation measures implemented last year continues to weaken.

In July 2014, the government slashed energy subsidies and implemented a sales tax on alcohol and cigarettes that drove prices up. As the impact of those measures wanes, the government plans to implement the value-added tax this fiscal year, a move that could again push inflation up.

Year-on-year, food cost increased by 8.2 percent, compared to a 8.3 percent growth in the previous month.The regulated items inflation eased to 12 percent, after 12.5 percent growth in July.

Annual core inflation rate was recorded at 5.6 percent in August, the lowest since January of 2013, compared to 6.5 percent in the previous month.

On a monthly basis, consumer prices rose 0.6 percent. The cost of food and vegetables increased by 6.77 percent and regulated items' by 0.15 percent. 

Egypt Inflation Rate Lowest In More Than 2 Years

Yekaterina |
9/10/2015 2:57:21 PM