The country’s inflation rate fell to 29.7% in May from 31.5% in April, the first decline since the currency was devalued seven months ago. The figures, published by the Central Bank of Egypt (CBE), also showed that year-on-year core inflation declined to 30.5% in May, down from 32.1% in April. It welcomed the drop, but said it did not necessarily mean the worst was over yet for Egyptian consumers. Meanwhile, a research note issued by Capital Economics London also expected inflation to resume its rally starting next July. Other austerity measures undertaken by Egypt in order to qualify for the loan included the cutting of fuel subsidies.

Source: Daily News Egypt June 11, 2017 12:56 UTC