Egypt's Inflation Rate Declines to 23.4%

Egypt's annual inflation rate decreased to 23.4% in December 2024 from 25% in November, primarily due to a significant drop in food prices, particularly vegetables which fell by 14%. The Central Agency for Public Mobilization and Statistics (CAPMAS) reported that the consumer price index stood at 239.7 points in December, indicating a general decline in key food categories. Despite this, other sectors experienced price increases, with notable surges in communication services and healthcare costs. The inflation decline follows a peak of 38% in September 2023, attributed to economic pressures from external factors like the Ukraine conflict. The International Monetary Fund projects Egypt's economy to grow by 4% in 2025, aided by reforms and investments such as the Ras El Hekma deal. The overall economic landscape suggests a cautious optimism as the government aims to stabilize inflation and foster growth.