Reuters expected the Egyptian economy to grow by 5 percent in the fiscal year that ends in June 2022, unchanged from a similar forecast three months ago and just below the government's target of 5.4 percent.
According to "Reuters", the GDP is expected to register a growth of 5.5 percent in the fiscal year ending on June 30, 2023, indicating that Egypt's high trade deficit is partly due to the decline in tourism revenues. Reuters hopes that non-oil foreign direct investment will recover, that there will be significant progress in the performance of local industry and local manufacturing, and then you will have an alternative to imports. Inflation is expected to reach 6 percent in the fiscal year ending in June, down slightly from a forecast of 6.4 percent three months ago. The general consumer price index is expected to reach 6.8 percent in the 2022-2023 fiscal year, after adjusting for an increase from the 6.2 percent forecast in April. Inflation slowed as inventories piled up after the pandemic disrupted supply chains last year. The decline in household consumption also led to a decline in inflation.
The government expects the economy to grow by 2.8 percent in the 2020-2021 fiscal year despite the huge turmoil across the global economy, keeping Egypt as one of the few emerging markets to achieve GDP growth despite the COVID-19 pandemic.
Source (Reuters, Edited)
