Egypt’s annual inflation jumps to 16.5% in May

Egypt’s annual inflation rate surged to 16.5 percent in May, up from 13.5 percent in April, according to data released by the Central Agency for Public Mobilization and Statistics (CAPMAS). 

The Consumer Price Index (CPI) climbed to 258.4 points, marking a 1.8 percent increase month-on-month, as rising food, transportation, and utility costs continued to strain household budgets.

Fresh food and beverages were among the largest contributors to the inflation spike. Fruit prices soared by 13.4 percent, while vegetables rose 2.1 percent and fish and seafood increased by 2.4 percent. 

Meat and poultry saw a more modest rise of 1.2 percent, with bottled drinks and juices up 1.3 percent, and ready-made meals increasing by 1.1 percent.

In the apparel sector, ready-made clothing rose 2.9 percent, fabrics 1.7 percent, and footwear 1.2 percent, reflecting seasonal shifts and costlier inputs.

Health-related expenditures saw significant increases, led by a 6.9 percent jump in medical products and equipment, while outpatient services rose 1.2 percent.

Despite these isolated decreases, the data underscore continued inflationary pressure across core spending categories. With food, health, transportation, and housing all recording notable increases, cost-of-living concerns remain front and center for Egyptian households. 

Policymakers are likely to monitor these trends closely as they weigh options for containing inflation without dampening economic activity.