The World Bank pointed towards rising food and energy inflation causing income growth and raising input costs in key sector
The World Bank (WB) raised its expectations for Egypt’s economy for the current fiscal year (FY 2021/2022), forecasting a growth rate of 6.1%.
Egypt projects that real GDP growth will hit 6.2% by the end of the FY (ending in June), said Planning and Economic Development Minister Hala El Said in late May.
In its World Economic Outlook report for June 2022, the bank revealed that it expects Egypt’s gross domestic product (GDP) to grow by 4.8% next year and 5% in 2024.
The World Bank pointed towards rising food and energy inflation causing income growth and raising input costs in key sectors as reasons why it has downgraded its projections for Egypt from its previous 5.5% for 2023.
“Growth in Egypt will still be supported by the gas extractives sector, as it benefits from elevated prices, by remittances from the GCC, and by continued reform momentum,” explained the report.
Earlier this week, a World Bank executive directors delegation visited Cairo, where it held a series of meetings with Egyptian Prime Minister Mostafa Madbouly and other officials to discuss cooperation with the Egyptian government, as well as measures taken by Egypt to adapt to the global economic crisis.
