Egypt’s inflation to remain above central bank target in 2023

Al-Monitor Pro Members

Marc Español 

Freelance journalist covering Egypt and Sudan 

Feb. 23, 2023

Inflation in Egypt hit a five-year high of 25.8% in January, largely driven by the sharp devaluation of the local currency and constraints on imports amid a dollar shortage. The impact on the purchasing power of Egyptians and the private sector, which has remained in contractionary territory for more than 24 months in a row, has been severe. In the coming months, prices will continue to rise above the Central Bank of Egypt’s targets, leaving authorities with the tricky task of bringing them under control in the second half of 2023.