Monday, March 16, 2026

Egypt’s Trade Deficit Widens to $4.9bn as Imports Outpace Exports

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Egypt’s trade deficit widened at the end of 2025 as import growth outpaced gains in exports, according to newly released data from Central Agency for Public Mobilization and Statistics (CAPMAS).

In its monthly foreign trade bulletin, CAPMAS reported that the country’s trade gap expanded 12.2% year-on-year to $4.9 billion in December 2025, compared with $4.4 billion in the same month of 2024, reflecting stronger import demand.

Egypt’s exports rose 6.8% to $4.6 billion in December from $4.3 billion a year earlier, supported by higher shipments of several consumer and food products.

Exports of ready-made garments increased 19.3%, while fresh fruit exports climbed 23.8%. Shipments of pasta and food preparations rose 14.9%, and pharmaceutical products edged up 0.2%, the statistics agency said.

However, declines in several industrial and commodity exports partially offset these gains. Petroleum product exports fell 11.2%, while fertilizer exports dropped 35.5% and plastics in primary forms declined 19%. Exports of iron bars, rods and wires recorded the sharpest fall, plunging 56.5% year-on-year.

Imports increased 9.6% to $9.5 billion in December, up from $8.7 billion in the same period a year earlier.

The rise was driven by higher purchases of natural gas, which surged 54.4%, alongside petroleum products, up 15.6%, and raw materials of iron and steel, which rose 1.5%. Wheat imports also jumped 50%, reflecting Egypt’s continued reliance on imported grain supplies.

Meanwhile, imports of passenger cars fell 26.8%, while purchases of organic and inorganic chemicals declined 18.7%. Imports of refined oils slipped 4.6%, and yarns made from vegetable or synthetic fibres dropped 6.8%.

Separately, data from the Central Bank of Egypt (CBE) showed annual core inflation rose to 12.7% in February, up from 11.2% in January.

On a monthly basis, core consumer prices increased 3.0% in February, compared with 1.2% in January and 1.6% in February 2025.

Core inflation, which excludes volatile food and energy prices, is closely monitored by policymakers as a key indicator of underlying price pressures ahead of future interest-rate decisions. The central bank is expected to release its full inflation report on 15 March, providing a detailed breakdown of price trends in the Egyptian economy.

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