Economic growth in Egypt is expected to accelerate to 5.5% in FY 2018-19, Bloomberg Economics’ Chief Middle East Economist Ziad Daoud expects, according to CPI Financial. He sees four tailwinds supporting growth in Egypt. First is declining inflation rates. Second are the lower interest rates expected, which “should boost growth through faster expansion in consumption and investment.” Tourism is also set to recover, with more tourists arriving and staying for longer. The fourth tailwind is the increased natural gas production domestically. “The story of Egypt is positive in the short term. However, most of the factors behind the expected recovery are temporary, and as these fade or reach their limit, Egypt will need to find new drivers for growth,” said Daoud.

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