Egypt Inflation Rate Above Forecasts

Egypt’s annual urban inflation rate rose to 13.4% in February 2026 from 11.9% in the previous month, well above the market forecast of 12%. This marked the highest reading since July 2025, as prices increased at a faster pace for food and non-alcoholic beverages (4.6% vs 1.9% in January), housing and utilities (31.7% vs 29.8%), clothing and footwear (14.2% vs 14.1%), miscellaneous goods and services (10.9% vs 10.4%), and recreation and culture (15.1% vs 14.8%). At the same time, inflation remained steady for transport (27.5%), restaurants and hotels (11.9%), furnishings, household equipment, and routine maintenance (10.8%), and communications (0.4%). Meanwhile, costs eased for alcoholic beverages, tobacco, and narcotics (15.7% vs 18.7%) and health (17.8% vs 18.4%). On a monthly basis, consumer prices rose 2.8% in February, accelerating from a 1.2% gain in January and marking the fastest monthly increase since February 2024.

Egypt’s annual urban inflation rate slowed to 11.9% in January 2026 from 12.3% in the previous month, though it remained above the market forecast of 11.7%. This marked the softest increase in consumer prices since last September, as the impact of higher fuel prices in October faded. Inflation eased for transport (27.5% vs 28.4% in December), restaurants and hotels (11.9% vs 12.8%), miscellaneous goods and services (10.4% vs 11.3%), and furnishings (10.8% vs 12.6%), while communications inflation remained steady at 0.4%. Meanwhile, inflation accelerated for food and non-alcoholic beverages (1.9% vs 1.5%), clothing (14.1% vs 12.8%), and housing (29.8% vs 29.2%) due to the lingering impact of rent increases. On a monthly basis, the CPI rose 1.2% in January, accelerating from a 0.2% gain in December and marking the fastest monthly increase in three months

Egypt’s annual urban inflation rate stood at 12.3% in December 2025, unchanged from the previous month and below the market forecast of 12.5%, as the impact of higher fuel prices in October faded. The latest reading came despite food inflation, a major component of the inflation basket, accelerating to 1.5% from 0.7% in October, which was the lowest level since April 2021. The acceleration in food prices was partly offset by a deceleration in transport costs (28.4% vs 28.9% in November), communications (0.4% vs 11.7%), and restaurants and hotels (12.8% vs 13.4%), while miscellaneous goods and services and clothing both remained steady at 11.3% and 14.9%, respectively. Meanwhile, furnishings inflation accelerated slightly (12.6% vs 12.4%), while housing inflation continued to rise (29.2% vs 27.9%) due to the lingering impact of rent increases. Monthly, the CPI rose 0.2% in December, easing slightly from a 0.3% gain in November and marking the softest monthly increase in five months.