Capital Economics expects 5.8% growth in the economy in Egypt in 2019

The UK-based economic research firm Capital Economics predicted that the Egyptian economy would grow by 5.8% over the next year 2019-2020, based on current year's growth indicators. , likely to reach 5.5%.

Capital Economics, in a research note, said Wednesday night that the economy had shown its ability to achieve good growth since last year, as evidenced by a 5% growth in 2016/2017.

The British company attributes this growth primarily to the exploitation by Egypt of untapped resources such as Al-TakaT operated as TakaVacancies in the tourism sector, as well as the recruitment of capital, manpower and demand stronger than in 2011.

Despite this improvement, Capital Economics pointed out that there remains a gap in economic potential and output estimated between 2 and 2.5% of GDP.

On the other hand, the research note suggested that inflation would decline sharply over the next two years, which would prompt the central bank to lower interest rates, thereby allowing the bank to lower interest rates. economy to avoid again worsening inflation over the next few years of growth.

The International Financial Institute (IFC) announced in a research note published yesterday that the Egyptian economy would experience a 5% growth during the fiscal year due to improved revenues and natural gas production, which is expected to grow by 20% by the end of 2018.

The inflation rate had been set at 10% by the end of the current fiscal year, dropping to 9% in 2019-2020, compared to 20.9% for the previous fiscal year.

The UK institution is expected to lower interest rates on the pound to deposit and lend overnight at 15.5% and 17.6% respectively before the end of the current fiscal year, falling to 15% and 16 respectively, 4% by the end of the next fiscal year.