Saudi Arabia likely to meet tourism targets ahead of 2030, says top official

RIYADH: Egypt’s annual urban consumer price inflation fell sharply to 12.8 percent in February, down from 24 percent in January, according to the latest data from the country’s statistics agency.

The Central Agency for Public Mobilization and Statistics  attributed the decline to the base effect, noting that the exceptionally high price increases observed over the past two years are no longer influencing the inflation rate.

A Reuters survey of 15 analysts had predicted a median inflation rate of 14.5 percent, meaning February’s actual figure was significantly lower than anticipated.

On a month-to-month basis, consumer prices increased by 1.4 percent in February, a slight decrease from January’s 1.5 percent rise. This marks the fourth time in the last seven months that inflation has slowed, following a period of acceleration that began in August 2023.

Last year’s inflationary pressures were primarily driven by rising fuel prices, higher public transportation fares — including for trains and the metro—and a 300 percent hike in the price of subsidized bread in May, marking the first such increase in over 30 years.

The February slowdown was mainly attributed to an 8.2 percent drop in vegetable prices, while costs for water, electricity, and gas remained stable. On the other hand, grain and bread prices rose by 0.8 percent, meat and poultry saw a 3.2 percent increase, and fruit prices climbed by 3 percent.

Egypt’s economic foundations have been showing positive results. The banking sector saw a significant 26.9 percent increase in total deposits for the 2023/2024 fiscal year, compared to the previous 12-month period.

Earlier in February, CAPMAS reported that total banking deposits reached 11.99 trillion Egyptian pounds ($237 billion), reflecting a surge in banking activity across various sectors.

The country’s fiscal year runs from July 1 to June 30 of the following year.

This growth in banking deposits comes amid high inflation, which peaked at 38 percent in September 2023, prompting both individuals and businesses to deposit more money in banks as a safeguard against currency devaluation.

The central bank’s attractive interest rates, along with financial inclusion initiatives under Egypt's Vision 2030 plan, also played a significant role in encouraging deposit growth.

CAPMAS data indicated that the household sector dominated Egypt’s banking deposits, accounting for 7.03 trillion pounds—an increase of 27.5 percent from the previous year. Individual depositors represented 95.9 percent of household deposits, underscoring strong saving trends among Egyptians. Overall, the household sector controlled 58.6 percent of total banking deposits.

Meanwhile, the business sector also experienced notable growth, with deposits rising to 1.99 trillion pounds—up 37.6 percent from the previous fiscal year.

RIYADH: Syria’s annual inflation rate plummeted to 6.4 percent in January, down from 118.9 percent in the same month last year, driven by an improved local supply chain.

According to the latest Directorate of Economic Research, General Statistics, and Planning report at the Central Bank of Syria, the overall inflation rate from February 2024 to January 2025 stood at 46.7 percent.

The analysis attributed the decline to an improvement in the exchange rate following the liberalization process and a notable increase in the supply of goods and materials in the local market, significantly easing inflationary pressures.

On Dec. 8, Syrian President Bashar Assad was ousted, ending over five decades of family rule. Since then, Syria’s new leadership has focused on rebuilding and reviving the economy, with the EU easing sanctions to support reconstruction. Still, 90 percent of Syrians live in poverty, according to a recent UN report.

Syria’s monthly inflation rate for January stood at 8.7 percent, an improvement from the 13.8 percent rate recorded in December. This progress was similarly driven by reduced inflationary pressures due to the increase in supply and exchange rate stability.

The report also highlighted sectoral developments, showing mixed trends across different categories. Food prices generally declined, with the overall index dropping 12.5 percent in February. Dairy and eggs decreased by 3.4 percent, followed by oils, which fell by 14.5 percent, and vegetables, which saw a decline of 18 percent. Meat was the only category to rise, increasing by 17.6 percent.

On Feb. 24, Syria’s economy minister met with the Middle East director of the World Bank and discussed resuming cooperation with the lender, which was suspended under the toppled government of Assad.

Minister Bassel Abdel Hanan emphasized with Jean-Christophe Carret the resumption of relations between the bank and Syria as well as the prospects for their development, the official SANA news agency reported. 

Abdel Hanan proposed the establishment of a “joint committee between the ministry and the bank to evaluate a new start.” He added that “the nature of the financing granted by the bank will determine the type of projects that will be financed,” pointing to the energy, agriculture, industry, and infrastructure sectors.

The World Bank had provided Syria with technical assistance and development advice before suspending its operations following the outbreak of the civil war in 2011. Since Assad’s fall, Syria has been urging the international community to lift the sanctions imposed on the former government.

Syrian Foreign Minister Asaad Al-Shaibani called the EU’s decision to ease sanctions on the energy, transport, and banking sectors “a step toward alleviating the suffering of our people.”