The FocusEconomics Consensus Forecast expects inflation in Egypt to average 15.7% in the year 2018, which is down 1.1% from last month’s estimate.
During 2019, inflation is expected to fall to 11.5%, according to FocusEconomics.
Inflation remains stubbornly high in September as urban consumer prices rose 1% from the previous month, down from August’s 1.13% rise. September’s price rise was driven by higher vegetable, water, and gas prices.
Core consumer prices — which exclude several food products and regulated utilities — improved by 0.19% in September, down from August’s 0.31% rise and marked the lowest figure since August 2015.
The evolution of core consumer prices is a clear sign of decline underlying cost pressures, even though headline figures continue to be propped up by the impact of the government’s IMF-backed reform program.
Urban inflation fell from 31.9% in August to 31.6% in September. Meanwhile, annual average inflation rose from 26.5% in August to 27.9% in September.
The inflation rate registered 18.8% in the fourth quarter (Q4) of 2017, reached 30.3% in Q2 2017, and 32.2% in Q3 2017, while the report projected that inflation will drop to 21.3% in Q4 2017.
