Egypt’s inflation drops again in March, continues decline

CAIRO – Egypt’s official statistics agency says the inflation rate dropped to 13.3 per cent in March, the month of the country’s presidential election, from 14.4 per cent in February.

The drop continues a decline since inflation peaked last summer, hovering around 30 per cent after the government cut fuel and electricity subsidies.

The figures, announced Tuesday by the Central Agency for Mobilization and Statistics, show the initial shock of floating the national currency and slashing subsidies is fading. The government expects inflation to drop to around 13 per cent in 2018.

The tough measures under President Abdel-Fattah el-Sissi caused prices of basic goods to spike, hitting poor and middle class Egyptians especially hard.

They are part of broader economic reforms undertaken to meet demands by the International Monetary Fund for a $12 billion bailout loan.