The Economic Pulse

In early 2025, Egypt demonstrated economic resilience amidst monetary tightening and fiscal consolidation, successfully managing trade imbalances and FX rate fluctuations. The Central Bank of Egypt (CBE) held the discount rate at 27.75% in February despite varied global rate adjustments, reflecting improvements in economic growth, notably in manufacturing and transportation, which contributed to a decrease in unemployment from 6.7% to 6.4%. With inflation stabilizing and projected to decline. These measures, coupled with efforts to stimulate private sector activity, are central to Egypt's targeted recovery strategy, aiming to stabilize foreign reserves and encourage healthy investment flows.