Egypt’s annual urban inflation eased for the third consecutive month to 14.3% in June 2026 from 14.6% in May, below market expectations of 15.1%. It was the lowest inflation rate since February, as the impact of higher fuel prices continued to fade, with transport inflation slowing to 24.4% in June from 24.7% in May. Egypt raised fuel prices in early March by about 14% to 17% across a wide range of petroleum products, marking the first increase this year amid elevated global oil prices. The largest component of the inflation basket, food and beverages, also moderated to 5.4% from 7.6% in May, when it recorded the fastest increase in a year. Inflation also eased for clothing and footwear (13.6% vs 14.2%) and health (4.0% vs 4.1%). However, housing and utility prices accelerated further (41.2% vs 40.4%), driven by higher electricity costs. On a monthly basis, the CPI fell 0.4%, reversing a 1.6% increase in the previous month and marking the first monthly decline since July 2025.

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