Cairo – Mubasher: Pharos Research has forecast Egypt’s annual inflation to rise to 13.5% in the first quarter of the fiscal year 2018/2019 and to fall to 12.9% in Q2-18/19.
The inflation rate is likely to ease from 14.8% in Q1-17/18 to 12% in Q4-17/18, Pharos said in a research note on Monday.
The inflation rate in Q1-18/19 will increase due to the planned energy subsidies cut at the end of June 2018 and higher prices of electricity ranging between 30% and 45% in July, in addition to the beginning of the first semester at schools in September, the research firm projected.
On Sunday, the Central Agency for Public Mobilization and Statistics (CAPMAS) said that Egypt’s annual inflation eased to 11.5% year-on-year in May 2018 from 30.9%.
The consumer price index (CPI) edged up 0.3% month-on-month, recording 274.7 points last month, the Central Agency for Public Mobilization and Statistics (CAPMAS) said in a statement on Sunday.
It is worth noting that annual inflation had recorded 12.9% in April 2018.
The London-based economic research consultancy Capital Economics had previously forecast that Egypt’s inflation rate would slash to 8% in 2019.
