Browsing: Egypt’s economy

Egypt's private sector

Egypt’s private sector suffers job cuts in November as optimism fades

Countries
  • Employment in Egypt’s private sector contracted in November, marking the fastest decline since February 2024.
  • This dip was largely attributable to companies opting not to replace departing staff due to weakened sales and subdued optimism.
  • Across the industry, purchase prices of goods increased partly due to a stronger US dollar against local currency.

Egypt’s private sector continued to face persistent challenges in November, with a drop in employment levels reflecting waning optimism across industries. According to the latest S&P Global Egypt Purchasing Managers’ Index (PMI), economic uncertainty and weak customer demand stifled growth prospects for the North African country, forcing businesses to scale back hiring and purchasing activities.

The PMI climbed slightly to 49.2 in November from 49.0 recorded in October, marking the second consecutive month of improvement but still lingering below the critical 50.0 threshold that signals expansion.

Senior Economist David Owen noted that while the contraction rate slowed, …

Africa’s Heavyweight Economies Brace for a Stormy 2023

Business

Most African economies have been staring into an economic abyss, besieged by a plethora of daunting challenges that have left many teetering on the edge of a precipice. A glance into Africa’s economic crystal ball for 2023 depicts a mixed bag of fortunes, with some economies set to flourish like a green bay tree, some will find themselves staring down the barrel of a recession whilst others will remain in the doldrums.

According to the International Monetary Fund (IMF), economic growth in Sub-Saharan Africa is expected to reach 3.7 percent in 2023.  Slowing global growth, higher external borrowing costs and weaker domestic currencies, are now the dominant factors weighing on Africa’s economies next year. In reiteration, the Economist Intelligence Unit (EIU) predicts that African economies will face turbulent times in 2023, as a range of internal and external shocks undermine growth prospects and threaten stability, but most of countries will…

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Egypt’s economy to record 2.3% growth in FY 2020//21

Business

Egypt’s economy is expected to grow by 2.3 percent in the 2020/2021 fiscal year from the previous project of 3.7 percent in January 2021 according to the World Bank’s Economic Prospects report June 2021.

According to the report, In the 2021/2022 fiscal year Egypt is expected to see further growth rise to 4.5 per cent down from 5.8 percent in the January report, which is a decrease of 1.3percent. In the Fiscal year 2022/2023, the report projects a growth rise of 5.5 percent.

According to the World Bank, in the first half of 2021 Egypt’s economy remained sluggish despite the relaxation of lockdown restrictions. Following unprecedented support in 2020, fiscal policy is expected to be less accommodative in 2021 while the average primary fiscal deficit is expected to be about 4 percent of GDP which is about two thirds its level in 2020.

“The scope for further financial support is …

Egypt maintains 3.6% GDP growth in FY20 despite pandemic

Countries

Egypt maintained its Gross Domestic Product (GDP) growth rate at 3.6 per cent during the last fiscal year (FY) 2019/20, despite the economic challenges presented by the pandemic, according to Egypt’s Minister of Finance Mohamed Maait.

The minister’s remarks came during his participation in virtual meetings organised by Bank of America during the International Monetary Fund’s (IMF) fall meetings.

Minister Maait said that Egypt was able to reduce its deficit–to-GDP ratio to 7.9 per cent in FY 2019/20, compared to the 8.2 per cent recorded in FY 2018/19.

At the end of June 2020, Egypt also achieved a primary surplus of 1.8 per cent despite the negative repercussions caused by Covid-19.

He also added that in the same period, the country was also able to reduce its debt-to-GDP ratio to 87 per cent compared to the 90.4 per cent recorded in the same period in 2019 and 108 per cent …

Egypt’s inflation rate jumps by 0.1% in January

Countries

Egypt’s annual urban consumer inflation rose to 7.2 per cent in January from 7.1 per cent in December, the Central Agency for Public Mobilisation and Statistics (CAPMAS) said.

From December, it announced that month on month urban headline inflation stood at 0.7 per cent adding that Inflation remains within Egypt’s Central Bank of a target range of 9 per cent, plus or minus 3 percentage points.

The CBE announced that Egypt’s core inflation increased to 2.7% in January from 2.4% in December. Consumer prices decreased to 0.2% in December after decreasing to 0.3% in November.

Also Read: Ethiopia, Egypt, and Sudan set for Blue Nile dam agreement this January

Since August in December 2019, Egypt’s annual consumer price inflation rate recorded its highest rate rising to 7.1 per cent from 3.6 per cent in November.

According to Trading Economics data, prices rebounded for food & non-alcoholic beverages decreased to 1.8 …