URGENT: Egypt’s GDP to grow 2.7% in 2024, 4.1% in 2025 in IMF new forecast

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By Yomna Yasser On Jul 16, 2024

International Monetary Fund (IMF) Egypt — Man standing before IMF building in Washington. Credit: AP.

Egypt’s economy will grow by 2.7 per cent and 4.1 per cent in 2024 and 2025, respectively, the International Monetary Fund (IMF) said in its July upgraded World Economic Outlook on Tuesday.

The new forecast marks a 3 percentage downward revision to its April projections of 3.0 per cent and 4.4 per cent growth for 2024 and 2025, respectively.

Global Outlook

The Washington-based international lender added in its report that global growth is projected to be in line with the April outlook forecast, at 3.2 percent in 2024 and 3.3 percent in 2025.

“Services inflation is holding up progress on disinflation, which is complicating monetary policy normalization. Upside risks to inflation have thus increased, raising the prospect of higher for even longer interest rates, in the context of escalating trade tensions and increased policy uncertainty.” the IMF noted. “The policy mix should thus be sequenced carefully to achieve price stability and replenish diminished buffers.”