Egypt's annual core inflation reaches 14.6% in June: CBE

Egypt's annual core inflation reaches 14.6% in June: CBE Fri, Jul. 8, 2022
CAIRO – 8 July 2022: The annual core inflation rate recorded 14.6 percent in June 2022, compared to 13.3 percent in May 2022, the Central Bank of Egypt (CBE) said in a statement Thursday.

The Consumer Price Index in Egypt has recorded a monthly rate of 1.2 percent in June, compared to 0.1 percent for the same month last year, and to 1.6 percent in May 2022, the statement added.

Core inflation discounts or strips out certain categories that are considered more volatile.

The Central Agency for Public Mobilization and Statistics (CAPMAS), stated, Thursday that Egypt’s annual inflation rate decreased for the first time in seven months during June, recording 14.7 percent, compared to 15.3 percent in May.

A decline in the inflation rate does not mean that prices have fallen, however, it does mean that prices have risen at a slower pace.

The CAPMAS indicated that the annual inflation rate increased compared to 5.3 percent in June 2021.

The annual urban inflation rate also fell in June to 13.2 percent, compared to 13.5 percent in May, according to the state-statistic body’s data.

On a monthly basis, inflation recorded 129.8 points in June 2022, recording a 0.3 percent decrease compared to May 2022, the CAPMAS said.

CAPMAS attributed the decrease in inflation to the decline in the prices of vegetables group by 18.8 percent and fruit group by 10.5 percent.

This came despite the increase in the prices of the cereals and bread group by 2.4 percent, the fish and seafood group by 2.1 percent, the oils and fats group by 1.3 percent, the meat and pourtly group by 1.1 percent.

Moreover, the group of goods and services used in home maintenance hiked 2.3 percent, the group of outpatient services by 1.8 percent, the group of transportation services by 3.3 percent, the group of ready meals by 1.7 percent, and the group of personal care by 2.3 percent.

The Central Bank of Egypt aims to achieve an inflation rate of 7 percent (±2) percentage points on average during the fourth quarter of 2022.