The core inflation
, which reflects the underlying inflation in the economy, remained unchanged at 6.1 percent in July on year-on-year basis.
FILE - CBE CAIRO -- 8 August 2019: The Central Bank of Egypt (CBE) said that Egypt's annual core inflation
rate declined to 5.9 percent in July 2019, from 6.4 percent in June 2019, according to a report.
continue to rise on account of rise in HRI and exchange rate
, which excludes fresh food, was at 0.6% in June, while so-called "core-core" inflation excluding fresh food and energy was 0.5%.
(non-food, non-energy, non-tobacco) was 1.1% in May 2019 down from 1.4% in previous month.
The biggest driver of CPI was core inflation
which has been on a rising trend since March 2018.
- non-food and non-energy price index - which in April stood at 7% also marginally increased to 7.2% last month, reported the PBS on Monday.
The outlook for core inflation
, measured by the consumer price index excluding fresh produce and products with administered prices, has improved relatively.
for February settled at 3.88 percent, lower than the 4.35 percent in January.
Second, capacity utilisation has improved and the output gap has closed over recent quarters, pressuring core inflation
(excluding food and energy).
On the other hand, core inflation
(55 per cent weight) stood at a 15-month low of 2.89 per cent as against 4.25 per cent in the previous month.
The BCT had emphasized in its last analysis of the economic and monetary developments, published last December, that the persistence of core inflation
at high levels is a source of concern for the CenBank, whose mandate is to ensure price stability.