Egypt’s headline inflation climbs to all-time high of 35.7% in June

Egypt’s headline inflation climbs to all-time high of 35.7% in June

Egypt's year-on-year headline inflation rose to a record 35.7% in June from 32.7% in May, official data showed on Monday, accelerating past the previous high reached in 2017 and reflecting acute economic strains since early last year. Prices soared as Egypt has struggled through a shortage of foreign currency and repeated devaluations since March 2022, increasing hardships for many Egyptians who have seen their living standards eroded in recent years. "All we hear about is inflation," said Wafaa Youssry, a 40-year-old Uber driver from Cairo, who said she no longer had enough money to send her children to private schools despite her husband moving to Kuwait for better pay. "It's forced me to think creatively because there aren't enough jobs here that pay decent salaries." Analysts had forecast the record reading for annual urban consumer price inflation in June, citing an unfavourable base effect and an increase in consumer demand over the annual Eid al-Adha holiday. The continuing surge in inflation may increase pressure on Egypt's central bank to raise interest rates at its next scheduled meeting on Aug. 3. The bank has held rates steady in its last two meetings, after raising them by a total of 1,000 basis