The Central Bank of Egypt (CBE) has decided Thursday to decrease interest rates by 1 percent, reducing the credit and discount rates by 100 basis points to 13.75 percent. The Monetary Policy Committee (MPC) has decided to reduced overnight deposit rate, overnight lending rate, and the rate of the main operation by 100 basis points to 13.25%, 14.25%, and 13.75%, respectively. Moreover, the CBE reported that Egypt's headline and core inflation decreased to 7.5 percent and 4.9 percent, respectively, during August, the lowest in six years supported by the positive effect of the base-year where headline inflation registered 0.7 in August The growth of the real gross domestic product (GDP) has continued its upward trend to record 5.7 percent in the second quarter of 2019, compared to 5.6 percent in FY 18/2019. The unemployment rate went down to 7.5 percent during the second quarter of 2019 down by 6 percentage points since its record high of 13.4 percent in 2013. "The expansion of global economic activity weakened, as well the negative effect trade tensions the global growth outlook led to easing the tightening of financial conditions through cutting the interest rates” the CBE said
