{"id":567942,"date":"2020-12-13T03:57:35","date_gmt":"2020-12-13T03:57:35","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2020\/12\/13\/food-prices-drive-inflation-rate-to-five-month-high\/"},"modified":"2020-12-13T03:57:35","modified_gmt":"2020-12-13T03:57:35","slug":"food-prices-drive-inflation-rate-to-five-month-high","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2020\/12\/13\/food-prices-drive-inflation-rate-to-five-month-high\/","title":{"rendered":"Food prices drive inflation rate to five-month high"},"content":{"rendered":"<p><a class=\"content-anchor\" id=\"tldr-story-06\"><\/a><strong> Annual headline urban inflation accelerated for the second consecutive month to <\/strong><strong>5.7% in November from <\/strong><strong><a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/7ba3c0ab-cba6-4ed1-94f1-10368c5f8e54\">4.6% in October<\/a><\/strong>, according to <a href=\"https:\/\/ent.news\/2020\/12\/202012108759_CAPMAS-INFLATION-11-2020.pdf\">Capmas figures (pdf)<\/a> released on Thursday. The increase was driven by higher food prices, which single-handedly brought annual inflation to its highest <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/a53e67cb-ab77-417d-a85e-d21ff4469016\">since May<\/a>. Monthly headline figures remained muted at 0.8%, but higher than 0.3% in November 2019. The monthly rate was, however, lower than October\u2019s 1.8%.<\/p>\n<p><strong>Food prices across the country edged up 3.2% on a monthly basis<\/strong> (and 4% y-o-y), Capmas said. Vegetable prices were the culprit, increasing over 25% on a monthly and annual basis, and offsetting a softer drop in the price of fruits.<\/p>\n<p><strong>Annual core inflation<\/strong> \u2014 which strips out volatile items such as food and fuel \u2014 rose marginally to 4% in November, from 3.9% last month, according to <a href=\"https:\/\/ent.news\/2020\/12\/CPI_press-release_November-2020.pdf\">central bank figures (pdf)<\/a>. Monthly core inflation, meanwhile, fell to 0 from 1.7% in October.<\/p>\n<p><strong>The increase in the annual rate was higher than expected<\/strong>, Pharos head of research Radwa El Swaify said on Thursday. Pharos had forecast an annual headline rate of 5.1% in November and a monthly rate of 0.3%.<\/p>\n<p><strong>Inflation is expected to accelerate in the coming months<\/strong> as food prices are likely to increase further and as the price of Brent crude rebounds, Capital Economics said. The EGP is also forecast to weaken in the months ahead, adding pressure on the headline rate. However, inflation isn\u2019t likely to exceed the mid-point of the CBE\u2019s range, it added.<\/p>\n<p><strong>That hasn\u2019t dampened hope for further rate cuts: <\/strong>Policymakers are expected to keep rates unchanged in their upcoming meeting, after having already lowered rates by 400 basis points so far into the year, El Swaify said. Beltone Financial echoed El Swaify, saying it expects rates to remain unchanged and that it holds the view \u201cthat the 400 bps policy rate cut to support domestic economic activity is still channeling its trickle down effect into the economy.\u201d That said, \u201cthe door is open for interest rates to be lowered further over the next twelve months,\u201d added Capital Economics, which expects 100 bps in cuts by the end of 2021. \u201cWith inflation likely to remain subdued and talks with the IMF set to result in the Fund giving the green light for further monetary easing,\u201d the London-headquartered research house said.<\/p>\n<p><strong>The CBE cut interest rates at its most recent meeting by 50 bps <\/strong><a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/5662d281-1e6f-4604-b559-ae1ac16ce3be\">earlier in November<\/a>, its second consecutive rate cut and fourth since the pandemic struck in March. The CBE\u2019s Monetary Policy Committee next meets on Thursday, 24 December to review interest rates.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Annual headline urban inflation accelerated for the second consecutive month to 5.7% in November from 4.6% in October, according to Capmas figures (pdf) released on Thursday. The increase was driven by higher food prices, which single-handedly brought annual inflation to its highest since May. Monthly headline figures remained muted at 0.8%, but higher than 0.3% [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":567943,"comment_status":"closed","ping_status":"open","sticky":false,"template":"single-feature.php","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7206],"tags":[104,72,182,724],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-567942","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-economy","tag-economy","tag-enterpriseam","tag-inflation","tag-monetary-policy","wpautop","entry"],"acf":{"mongo_id":"790c7907-afb4-4e0c-9338-260b3db35554","is_powered_by":true,"story_type":"1","photo_url":"https:\/\/ent.news\/2020\/12\/220.jpg","photo_position":"above","related_issue":[567930],"teaser":"","voice_url":""},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.1 (Yoast SEO v27.1.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Food prices drive inflation rate to five-month high - EnterpriseAM Egypt<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/enterpriseam.com\/egypt\/2020\/12\/13\/food-prices-drive-inflation-rate-to-five-month-high\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Food prices drive inflation rate to five-month high\" \/>\n<meta property=\"og:description\" content=\"Annual headline urban inflation accelerated for the second consecutive month to 5.7% in November from 4.6% in October, according to Capmas figures (pdf) released on Thursday. The increase was driven by higher food prices, which single-handedly brought annual inflation to its highest since May. Monthly headline figures remained muted at 0.8%, but higher than 0.3% [&hellip;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/enterpriseam.com\/egypt\/2020\/12\/13\/food-prices-drive-inflation-rate-to-five-month-high\/\" \/>\n<meta property=\"og:site_name\" content=\"EnterpriseAM Egypt\" \/>\n<meta property=\"article:published_time\" content=\"2020-12-13T03:57:35+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/i0.wp.com\/ent.news\/2020\/12\/220.jpg?fit=%2C&ssl=1\" \/>\n<meta name=\"author\" content=\"enterpriseam admin\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"enterpriseam admin\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2020\/12\/13\/food-prices-drive-inflation-rate-to-five-month-high\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2020\/12\/13\/food-prices-drive-inflation-rate-to-five-month-high\/\"},\"author\":{\"name\":\"enterpriseam admin\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#\/schema\/person\/ca597032db7e4db868359c123cec256d\"},\"headline\":\"Food prices drive inflation rate to five-month high\",\"datePublished\":\"2020-12-13T03:57:35+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2020\/12\/13\/food-prices-drive-inflation-rate-to-five-month-high\/\"},\"wordCount\":418,\"publisher\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#organization\"},\"image\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2020\/12\/13\/food-prices-drive-inflation-rate-to-five-month-high\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/i0.wp.com\/ent.news\/2020\/12\/220.jpg?fit=%2C&ssl=1\",\"keywords\":[\"economy\",\"EnterpriseAM\",\"inflation\",\"monetary policy\"],\"articleSection\":[\"Economy\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2020\/12\/13\/food-prices-drive-inflation-rate-to-five-month-high\/\",\"url\":\"https:\/\/enterpriseam.com\/egypt\/2020\/12\/13\/food-prices-drive-inflation-rate-to-five-month-high\/\",\"name\":\"Food prices drive inflation rate to five-month high - 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On a monthly basis, consumer prices fell for the first time in 11 months, dipping 0.1% due\u2026","rel":"","context":"In &quot;Economy&quot;","block_context":{"text":"Economy","link":"https:\/\/enterpriseam.com\/egypt\/category\/economy\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2022\/1\/118.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":557230,"url":"https:\/\/enterpriseam.com\/egypt\/2021\/09\/12\/inflation-continues-upwards-trend-in-august-hitting-5-7\/","url_meta":{"origin":567942,"position":1},"title":"Inflation continues upwards trend in August, hitting 5.7%","author":"enterpriseam admin","date":"12 September 2021","format":false,"excerpt":"Annual urban inflation hit its highest level in nine months in August on the back of rising food, fuel and transportation costs, according to figures released on Thursday. Headline urban inflation rose slightly to 5.7% in August, up from 5.4% in July, according to state statistics agency Capmas. That\u2019s the\u2026","rel":"","context":"In &quot;Economy&quot;","block_context":{"text":"Economy","link":"https:\/\/enterpriseam.com\/egypt\/category\/economy\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2021\/9\/141.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":566708,"url":"https:\/\/enterpriseam.com\/egypt\/2021\/07\/08\/monthly-prices-in-urban-egypt-hold-steady-keeping-inflation-in-check\/","url_meta":{"origin":567942,"position":2},"title":"Monthly prices in urban Egypt hold steady, keeping inflation in check","author":"enterpriseam admin","date":"8 July 2021","format":false,"excerpt":"Annual urban inflation inched up slightly in June, at a pace slower than everyone had expected, thanks to a favorable base effect and a slowdown in the growth of monthly food prices. Figures released today by state statistics bureau Capmas showed the headline rate accelerated to 4.9% at the end\u2026","rel":"","context":"In &quot;SPEED ROUND: ECONOMY&quot;","block_context":{"text":"SPEED ROUND: ECONOMY","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round-economy\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2021\/7\/362.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":553861,"url":"https:\/\/enterpriseam.com\/egypt\/2021\/12\/12\/urban-inflation-dips-to-lowest-level-since-july\/","url_meta":{"origin":567942,"position":3},"title":"Urban inflation dips to lowest level since July","author":"enterpriseam admin","date":"12 December 2021","format":false,"excerpt":"Annual urban inflation slowed for the second month running in November as pressure on food prices continued to ease, according to official figures released on Thursday. The headline rate fell to 5.6% last month from 6.3% in October, the lowest rate since July and within the lower end of the\u2026","rel":"","context":"In &quot;Economy&quot;","block_context":{"text":"Economy","link":"https:\/\/enterpriseam.com\/egypt\/category\/economy\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2021\/12\/291.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":542436,"url":"https:\/\/enterpriseam.com\/egypt\/2025\/12\/11\/inflation-inches-down-in-november-defying-expectations\/","url_meta":{"origin":567942,"position":4},"title":"Inflation inches down in November, defying expectations","author":"enterpriseam admin","date":"11 December 2025","format":false,"excerpt":"Annual headline urban inflation fell to 12.3% in November","rel":"","context":"In &quot;Economy&quot;","block_context":{"text":"Economy","link":"https:\/\/enterpriseam.com\/egypt\/category\/economy\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2025\/2\/945.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":547161,"url":"https:\/\/enterpriseam.com\/egypt\/2022\/06\/12\/inflation-hits-13-5-in-may-but-slowed-on-an-m-o-m-basis\/","url_meta":{"origin":567942,"position":5},"title":"Inflation hits 13.5% in May but slowed on an m-o-m basis","author":"enterpriseam admin","date":"12 June 2022","format":false,"excerpt":"Inflation rose to a three-year high in May but came in lower than expected and even slowed down on a monthly basis. Annual urban inflation rose to 13.5% last month from 13.1% in Aprilas rising global commodity prices and the EGP devaluation pushed consumer prices upwards for a sixth consecutive\u2026","rel":"","context":"In &quot;Economy&quot;","block_context":{"text":"Economy","link":"https:\/\/enterpriseam.com\/egypt\/category\/economy\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2022\/6\/223.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]}],"_links":{"self":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/567942","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/comments?post=567942"}],"version-history":[{"count":0,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/567942\/revisions"}],"acf:post":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/issue\/567930"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media\/567943"}],"wp:attachment":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media?parent=567942"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/categories?post=567942"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/tags?post=567942"},{"taxonomy":"brand","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/brand?post=567942"},{"taxonomy":"newspack_spnsrs_tax","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/newspack_spnsrs_tax?post=567942"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}