Egypt’s monthly inflation eases for third month

Egypt’s monthly inflation eases for third month

Egypt’s monthly inflation resumed its ease for a third straight month in April, data from Egypt’s official statistics agency showed Wednesday.

The consumer price index (CPI) soared 1.7 percent in April, marking the slowest pace since October, down from 2 percent in March.

However, annual urban inflation climbed to 31.5 percent from 30.9 percent in March.

Monthly inflation is currently at the slowest pace since the government’s decision to float the Egyptian pound on November 3, which means inflation may be stabilizing with the pound’s exchange rate steadying near 18 per dollar.

The easing monthly inflation rate may help the government to resume its economic restructuring plans demanded by the IMF to grant Egypt the next aid tranche.

Ahmed Mamdouh

Ahmed Mamdouh, Co-Founder and Head of English Fundamental Analysis at FXComment.com, with 7 years of experience in the financial markets. Mamdouh holds a Master’s Degree in Economics from The American University in Cairo and a Bachelor Degree in Economics from The Faculty of Economics and Political Science, Cairo University.

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