Egypt: Inflation declines for sixth consecutive month in January
In January, urban consumer prices fell from the previous month for the second month in succession, dropping 0.06%, after a 0.21% decline in December. January’s fall was driven by lower prices for food and non-alcoholic beverages, in particular fruit and vegetables.
Urban inflation continued to drop sharply, falling from 21.9% in December to 17.1% in January, marking the sixth consecutive decrease and the lowest figure since October 2016. Core urban inflation followed the same pattern, with both indicators moving further below July’s peak. Lower inflation will be welcomed by consumers and could open the door to further monetary easing in the coming months. Meanwhile, annual average inflation fell from 29.5% in December to 28.4% in January.