Headline inflation in Egypt for July 2022 hit a high of 13.6% going up from 13.2%, according to data from the country’s official data collector, CAPMAS.
According to reports, this rate was the highest in 3 years and was caused by higher prices of food and transportation.
- Food and beverages rose by 22.7%
- Transportation costs rose by 17%
- Cereals and bread group rose by 1.0%
- Dairy, cheese and eggs went up by 5.2%
- Fruits rose by 7.5%
- Tobacco group went up by 3.3%
- Medical equipment group rose by 1.0%
- Private transportation went up by 9.0%
- Vegetables costs decreased by 10.8%
The latest figure immediately upends the drop in inflation that came in June 2022, which disrupted a 7-month climb in annual inflation.
The rise in inflation has been attributed to the government raising fuel prices. Egypt’s fuel pricing committee increased gasoline prices by 2.3% on average in July 2022 during a quarterly review. The devaluation of the Egyptian pound by 14% in March 2022 also had an effect on local prices.
Egypt is the largest importer of wheat globally. As a result, it has been severely impacted by the Ukraine-Russia conflict since this has disrupted shipments in the black sea region where 80% of Egypt’s imports come from.
Egypt’s is part of several countries across Africa that have experienced heightening cost of living, with all pointing blame at the Ukraine-Russia conflict.
