In February, Egypt’s annual inflation rate fell sharply to 12.8% from 24% in January, attributed to changes in the base effect. Monthly consumer prices rose by 1.4%, a decrease from the previous month’s 1.5%. Factors contributing to inflation last year included rising fuel and transportation costs, as well as a significant increase in subsidized bread prices. February’s decline was also supported by a decrease in vegetable prices.
In February, Egypt’s annual urban consumer price inflation significantly decreased to 12.8%, down from 24% in January, as reported by the Central Agency for Public Mobilization and Statistics. This decline is largely credited to the base effect, indicating that previous high price increases no longer impact the current inflation figures.
Consumer prices experienced a month-to-month rise of 1.4% in February, a slight decline from January’s 1.5%. Notably, this marks the fourth instance within seven months where inflation has decelerated, reversing a trend of acceleration that commenced in August 2023.
The inflation surge experienced last year was primarily fueled by several factors including increased fuel prices, elevated public transportation fares, and a dramatic 300% increase in the subsidized bread price, notable as the first rise in over three decades. The decrease observed in February is largely due to an 8.2% reduction in vegetable prices, while the costs of water, electricity, and gas remained stable.
In summary, the significant reduction in Egypt’s annual inflation rate to 12.8% in February reflects a decline from previous high levels. Several factors have contributed to this decrease, including the stabilization of prices for essential goods. The latest report indicates a noteworthy easing in inflationary pressures, suggesting a potential shift in the economic landscape.
Original Source: anba.com.br
