Egypt Inflation Rate Below Forecasts

Egypt's annual urban inflation slowed to 14.5% in August 2026 from July's three-month high of 14.9%, and below market expectations of 15.5%. The deceleration came as food and beverages inflation, the largest component of the inflation basket, eased to 6.3% from 8.0% in July, which was the highest level in 14 months. Transport inflation also eased slightly to 24.4% in August from 24.5% in July, as the impact of higher fuel prices continued to fade. 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 eased for furnishing (16.9% vs 17.9%) and alcoholic beverages and narcotics (9.1% vs 9.3% in July). Meanwhile, inflation accelerated for housing and utilities (42.8% vs 41.2%), clothing and footwear (14.0% vs 13.7%), and health (4.6% vs 4.5%). On a monthly basis, the CPI edged up 0.1%, after being flat in the previous month.

Egypt's annual urban inflation accelerated for the first time in four months to 14.9% in July 2026 from 14.3% in June, but remained below market expectations of 15.1%. It was the highest inflation rate since April, with the largest component of the inflation basket, food and beverages, rising to 8.0% from 5.4% in June, the highest level in 14 months. Transport inflation accelerated slightly to 24.5% in July from 24.4% in June, as the impact of higher fuel prices continued to put pressure on prices, though it was starting to fade. 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 accelerated for clothing and footwear (13.7% vs 13.6%) and health (4.5% vs 4.0%). However, housing and utility prices remained steady at 41.2%. Monthly, the CPI was unchanged after falling 0.4% in the previous month, which marked the first monthly decline since July 2025.

Egypt's annual urban inflation eased for the third consecutive month to 14.3% in June 2026 from 14.6% in May, below market expectations of 15.1%. It was the lowest inflation rate since February, as the impact of higher fuel prices continued to fade, with transport inflation slowing to 24.4% in June from 24.7% in May. 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. The largest component of the inflation basket, food and beverages, also moderated to 5.4% from 7.6% in May, when it recorded the fastest increase in a year. Inflation also eased for clothing and footwear (13.6% vs 14.2%) and health (4.0% vs 4.1%). However, housing and utility prices accelerated further (41.2% vs 40.4%), driven by higher electricity costs. On a monthly basis, the CPI fell 0.4%, reversing a 1.6% increase in the previous month and marking the first monthly decline since July 2025.