Egypt annual headline inflation continues downturn trend in June

People stand in front of clothing stores in Cairo, Egypt, on July 10, 2024. Egypt's annual headline inflation rate dropped to 27.1 percent in June, down from 27.4 percent in May, continuing a downward trend for the fourth consecutive month, the country's statistics body reported on Wednesday. (Xinhua/Ahmed Gomaa)

CAIRO, July 10 (Xinhua) -- Egypt's annual headline inflation rate dropped to 27.1 percent in June, down from 27.4 percent in May, continuing a downward trend for the fourth consecutive month, the country's statistics body reported on Wednesday.

In a statement, Egypt's Central Agency for Public Mobilization and Statistics (CAPMAS) attributed the slowdown to the decline in prices of cereal and bread by 13.5 percent, poultry and meat by 3.7 percent, and vegetables by 2.3 percent.

Price of food and vegetables jumped in June by 30.8 percent, transportation by 17.5 percent, electricity, fuel and water by 12.4 percent, clothes and shoes by 25.9 percent, and culture and entertainment services by 56.6 percent, CAPMAS added.

Over the past two years, the U.S. dollar shortage in Egypt has led to the devaluation of the local currency and the rise of a parallel currency exchange market in the country, plunging Egypt into one of its worst economic crises.

The crisis was further exacerbated by the Israel-Hamas conflict erupted last year, which has impacted Egypt's tourism sector and halved its revenues from the Suez Canal.

A man looks at a clothing store in Cairo, Egypt, on July 10, 2024. Egypt's annual headline inflation rate dropped to 27.1 percent in June, down from 27.4 percent in May, continuing a downward trend for the fourth consecutive month, the country's statistics body reported on Wednesday. (Xinhua/Ahmed Gomaa)

A woman selects vegetables at a stall in Cairo, Egypt, on July 10, 2024. Egypt's annual headline inflation rate dropped to 27.1 percent in June, down from 27.4 percent in May, continuing a downward trend for the fourth consecutive month, the country's statistics body reported on Wednesday. (Xinhua/Ahmed Gomaa)

People walk past a clothing store in Cairo, Egypt, on July 10, 2024. Egypt's annual headline inflation rate dropped to 27.1 percent in June, down from 27.4 percent in May, continuing a downward trend for the fourth consecutive month, the country's statistics body reported on Wednesday. (Xinhua/Ahmed Gomaa)