Annual urban headline inflation in Egypt remained stable at around 12.3% in December 2025, virtually unchanged from November, according to the Central Bank of Egypt. The dynamics continue to be driven primarily by non-food prices, as food inflation has fallen back to pre-2022 levels. Annual food inflation declined sharply to 1.5%.
The Central Bank of Egypt (CBE) reported that annual urban headline inflation held steady at 12.3% in December 2025, unchanged from November. This stability reflects a sharp drop in annual food inflation to 1.5%, down from 20.3% in December 2024, though it ticked up slightly from 0.7% in November 2025. Meanwhile, annual non-food inflation eased to 19.5% from 20.2% the prior month.
Annual core inflation fell to 11.8% from 12.5%, driven by weaker contributions from core food, retail, and services. On a monthly basis, urban headline inflation was 0.2%, broadly matching November and December 2024 levels, supported by price declines in volatile and core food items that offset rises in services and regulated prices, including higher household natural gas tariffs.
Regionally, annual rural headline inflation rose to 8.3% from 7.9%, while nationwide inflation edged up to 10.3% from 10.0%. Monthly food inflation was negative 0.7%, with volatile food prices down 1.6%, fresh fruits falling 2.3%, vegetables 1.0%, poultry 2.5%, and eggs 5.7%.
Non-food monthly inflation reached 0.8%, fueled by a 0.6% rise in regulated prices – mainly a 23.0% hike in household natural gas, the second in 2025 – alongside 0.9% increases in services like rents and restaurant spending, and 0.6% in retail for clothing and personal care. These patterns highlight a balance between downward food pressures and upward non-food forces, suggesting gradual economic stabilization.
