Egypt Inflation Rate at 3-Month Low of 14.6%

Egypt’s annual urban inflation slowed to 14.6% in May 2026 from 14.9% in April, slightly above market expectations of 14.5%. It was the lowest inflation rate since February, as the impact of higher fuel prices continued to fade, with transport inflation easing to 24.7% in May from 29.2% in April. Egypt raised fuel prices in early March by about 14% to 17% across a wide range of petroleum products, marking the first increase this year, amid elevated global oil prices. Inflation also moderated for health (4.1% vs 9.3%), restaurants & hotels (11.7% vs 12.0%), and recreation and culture (8.3% vs 16.2%) categories. However, housing and utility prices accelerated further (40.4% vs. 38.5%), driven by higher electricity costs. The largest component of the inflation basket, food and beverages, increased by 7.6%, the most in a year, after a 6.7% rise in April. On a monthly basis, the CPI rose 1.6%, accelerating from a 1.1% increase in the previous month.

Egypt’s annual urban inflation eased to 14.9% in April 2026 from 15.2% in March, which marked a ten-month high, despite inflationary pressure from the Iran conflict. Prices moderated primarily in health (9.3% vs 17% in March) and restaurants & hotels categories (12% vs 12.8%), while transportation inflation remained elevated at 29.2% (vs 39.4% in March). Housing & utilities prices accelerated further (38.5% vs 35.3%), driven by higher electricity costs. The largest component of the inflation basket, food and beverages, climbed by 6.7%, the most in ten months, after a 5.8% rise in March. On a monthly basis, the CPI rose by 1.1%, slowing from a 3.2% surge in the previous month, prompted by a decrease in food and beverage prices.

Egypt’s annual urban inflation rate accelerated to 15.2% in March 2026 from 13.4% in February, above forecasts of 12%. This marked the highest reading since May 2025, amid a surge in oil prices. Egypt raised fuel prices in early March by about 14% to 17% across a wide range of petroleum products, the first increase this year. Inflation accelerated in transport (39.4% vs 27.5% in February), food (5.8% vs 4.6%), housing and utilities (35.3% vs 31.7%), clothing and footwear (14.4% vs 14.2%), miscellaneous goods and services (11.6% vs 10.9%), restaurants and hotels (12.8% vs 11.9%), furnishings and household equipment (11.1% vs 10.8%), and alcoholic beverages, tobacco, and narcotics (16.9% vs 15.7%). Meanwhile, price growth moderated in health (17.0% vs 17.8%) and recreation and culture (15.0% vs 15.1%), while inflation remained steady in communications (at 0.4%). Monthly, CPI rose 3.2% in March, after a 2.8% gain in February, marking the fastest monthly increase since February 2023.