Inflation rate rises to 7% in October in Egypt

Egypt’s Central Agency for Public Mobilization and Statistics (CAPMAS) announced here Saturday that Egypt’s inflation rate grew to 7% in the 12 months to October 2012, mainly due to lower prices in the same quarter a year earlier, thus marking a significant rise on September’s rate. According the official data CAPMAS showed here today,weak economy has cut Egypt urban inflation to 6.2% Egypt annual inflation holds steady around 6.4%,while local prices rose 6.2% cent in the 12 months to September. The increase in natural gas and butane prices were the main driver behind the rise in inflation, increasing 57.8% in October 2012 over September 2012, and a whopping 175% over October 2011. On an annual basis, vegetables saw the second largest increase in prices, growing 18.5% in the year to Oct. 2012. Figures from state statistics agency, CAPMAS, showed Egypt’s food inflation at an annual 8.2% rate in October, down from 9.1% the month before, reflecting an easing in global food prices. The drop is due to a monthly decline in vegetable prices by 8.4%.