Egypt's inflation rate eases for fourth month running in June
Egypt's annual urban inflation rate slowed for a fourth consecutive month in June, to 27.5% from 28.1% in May, data from the country's statistics agency showed on Wednesday.
June's fall extended the downward shift from a record 38% in September 2023 as authorities have shifted to an inflation targeting model and a flexible exchange rate.
Egypt's core inflation, which strips out volatile items such as fuel and some types of food, eased to 26.6% year on year from 27.1% in May, central bank data showed later on Wednesday.
Analysts have, however, warned of potential risks that could disrupt the downward trajectory including increases in administered prices such as fuel, medicine, fertilisers, and natural gas.
"Egypt is going through 30 months of intensive economic reforms that are expected to include repricing of subsidised electricity and fuel, which poses major challenges to taming inflation," said Mona Bedeir of Al Baraka bank.