Egypt Inflation Rate Accelerates to Double Digit in February

Egypt's consumer prices increased by an annual 10.6 percent in February, after slowing in January, due to higher prices of transport and food. A year ago, inflation rate was 9.76 percent.
Carolina Cunha | 3/13/2015 11:24:50 AM
Year-on-year, prices of transport went up by 22 percent, the highest annual increase. Costumers paid more for hotels and restaurants (+15.92 percent) and housing, water, gas and electricity (+ 10.25 percent). Prices of clothing and footwear surged by 7.55 percent. 

Food and beverages prices increased by 8.2 percent when compared with the same month of the previous year. While prices of fruits and vegetables jumped 13.56 percent, cost of food excluding fruits and vegetables advanced by 6.71 percent. 

Annual core inflation edge up to 7.1 percent, following a 7.06 percent increase last month. It is the first rise in six months.

On a monthly basis, inflation rate was 2.1 percent, up from a 0.99 percent rise last month.  The increase was mainly driven by higher prices of food (+2.46 percent), hotels and restaurants (+ 1.67 percent) and housing, water, electricity and gas (+1.4 percent). Cost of transport and clothing and footwear were unchanged in February over January.

On January 15, Egypt’s central bank allowed the Egyptian pound to fall against major currencies, after protecting it for the past three years. The devaluation boosted import costs and led to the fastest rise in input prices in seven months. 

Egypt Inflation Rate Accelerates to Double Digit in February