Cairo - Mubasher: The Central Bank of Egypt (CBE) is expected to lower interest rates by 350 basis points (3.5%) to reach 13.25% by the end of 2018, according to a recent report by Capital Economics.
The research firm said that as inflationary pressures are cooling down, the CBE is set to continue its financial easing policy to normalize ates.
The Ministry of Finance (MoF) previously expected a slight short-term increase in inflation in July, but it is targeting to lower both unemployment and inflation rates to around 10% by the end of fiscal year 2018/2019.
Inflation dropped to 13.1% in March down from 32.5% for the same period last year, as shown by the data of the Central Agency for Public Mobilization and Statistics (CAPMAS).
