Reuters projected that Egypt’s urban inflation rate slowed in August to 12.7 percent, continuing the downward trend observed over the past two years.
The annual urban consumer inflation rate declined to 12.7 percent from 13.9 percent in July. Inflation had reached an all-time high of 38 percent in September 2023, but has since receded, supported by an $8 billion financial support package signed with the International Monetary Fund (IMF) in March 2024.
The slowdown in inflation encouraged Egypt’s central bank to cut its overnight lending rate by 200 basis points on August 28, marking the third rate cut this year.
