In February, Egypt’s inflation rate dropped to 14.5%, according to a Reuters poll

A poll published on Wednesday predicts that Egypt’s inflation rate will have fallen to 14.5% in February as the figures no longer show the unusually high price hikes of the previous two years.

Reuters questioned 15 economists, and their consensus prediction was that annual urban consumer inflation would have dropped from 24.0% in January to 14.5%. Data collection took place between February 27 and March 5.

According to Mohamed Abu Basha of EFG Hermes, “February is the month where the annual base effect will finally fade away, resulting in a major drop in headline annual inflation.” He projected that inflation would drop to 13.7%.

“We do, though, expect an elevated monthly reading due to seasonality associated with Ramadan.”

In February of last year, the monthly price increase was unusually large, according to Esraa Ahmed of Pharos.

Following its historic high of 38% in September 2023, inflation had been on the decline.

The money supply’s explosive expansion has contributed to price increases in part. In the year ending in January, the M2 money supply increased by an unprecedented 32.1%, according to central bank figures.

Abu Dhabi’s February 2024 real estate investment of $24 billion on the Mediterranean coast and the March 6, 2024, signing of a financial support package of $8 billion with the International Monetary Fund helped to stimulate the economy.

On Monday morning, CAPMAS, the government statistics office, is scheduled to disclose the inflation data.

Core inflation was projected by six analysts to drop from 22.6% in January to 15.4% in February.