Egypt inflation accelerates at slowest pace in five months

Bloomberg

Egyptian consumer prices showed some signs of stability in March, signaling that the surge in inflation triggered by the central bank’s decision to abandon currency controls five months ago could be easing.
Annual inflation in urban areas accelerated to 30.9 percent compared with 30.2 percent in February, according to data released by the official statistics agency, CAPMAS on Monday. That is the slowest gain in the annual rate since November, when authorities also raised energy prices to secure a $12 billion loan from the International Monetary Fund.
On a monthly basis, prices rose 2 percent compared with 2.6 percent in February. “The initial price shock seems to be tapering off,” said Reham El Desoki, senior economist at Dubai-based Arqaam Capital. “Sharp changes in prices in the future will be linked to further reform measures, the usual fluctuation in the exchange rate or seasons when consumer demand increases.”