Egypt: Inflation declines for fifth consecutive month in December
In December, urban consumer prices fell from the previous month for the first time in two years, dropping 0.21% and contrasting November’s 0.97% uptick. The decline was driven by lower prices for food and non-alcoholic beverages.
Urban inflation plummeted from 26.0% in November to 21.9% in December, marking the fifth consecutive decline and the lowest figure since November 2016. In a similar vein, core inflation also dropped sharply. Lower inflation will be welcomed by consumers, and could open the door to monetary easing in the coming months. Meanwhile, annual average inflation fell from 29.8% in November to 22.3% in December.