Egypt's headline inflation surges to 25.8% in January

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Egypt's headline inflation surges to 25.8% in January
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Egypt's annual urban consumer price inflation jumped to a higher-than-expected 25.8% in January, its fastest in more than five years, from 21.3% in December, data from statistics agency CAPMAS showed on Thursday.

The rise followed a series of currency devaluations starting in March 2022, a prolonged shortage of foreign currency, and continuing delays in getting imports into the country. The Egyptian pound has fallen by nearly 50% since March.Economists had expected a reading of 23.75%, according to the median forecast in a Reuters poll of 14.The central bank is expected to release the January figure later on Thursday.

Headline inflation increased across the board, but was driven especially by higher prices of food and non-alcoholic beverages, which make up 32.7% of the index's basket, "as producers continued to pass through higher import bills to shoppers", said Allen Sandeep of Naeem Brokerage.

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