Egypt’s Unemployment Falls to Lowest Levels in 14 Years

A man sells candyfloss on a bridge over the Nile in Cairo. (Reuters)
A man sells candyfloss on a bridge over the Nile in Cairo. (Reuters)
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Egypt’s Unemployment Falls to Lowest Levels in 14 Years

A man sells candyfloss on a bridge over the Nile in Cairo. (Reuters)
A man sells candyfloss on a bridge over the Nile in Cairo. (Reuters)

Egypt’s unemployment rate fell to 5.7 percent in FY 19/20, its lowest in 14 years, after it recorded 13.9 percent in the previous fiscal year, announced the Minister of Planning and Economic Development, Hala el-Saeed.

In 2016, Egypt floated its currency as part of an economic reform program that Cairo pursued to overcome the budget deficit and imbalances in the economic sectors.

During her statement to the parliament, the minister pointed out that Egypt’s inflation rate fell to 7.3 percent in the first quarter of FY 20/21, compared to 9.6 percent in Q4 of FY 19/20, while the annual unemployment rate dropped from 13 percent in 2014 to 7.9 percent in 2019.

Said confirmed the decrease in Egypt’s poverty rate to 29.7 percent, for the first time since 1999, compared to 32.5 percent in FY 2017/18, as the poverty rate declined across the country.

The decline was greater in rural areas of Lower Egypt, reflecting a decrease of 4.73 percent, followed by the rural areas of Upper Egypt at 3.79 percent.

“This is one of the fruits of the serious reform steps taken by the Egyptian state,” Said noted, adding that since November 2016, this has strengthened the Egyptian economy and its ability to confront crises.

Public investments increased by 66 percent in general during FY 18/19-20/21 compared to the previous three years, which resulted in the implementation of many development initiatives, according to the minister.

Public investments in major sectors, such as infrastructure, transportation and electricity, amounted to about EGP 500 billion, 32 percent of public investments and 20 percent growth compared to the three preceding years.

The minister added that a growth rate of 5.6 percent was achieved in the first half of 19/20 before the repercussions of the novel coronavirus pandemic were felt.

Despite the crisis, the economy achieved a growth rate of 3.6 percent during FY 19/20, making Egypt one of a limited number of countries that achieved positive growth amid the pandemic. It was projected to achieve a growth rate of 5.8 percent in FY 19/20 and 6 percent in FY 20/21, she revealed.



Oil Prices Inch up on Geopolitical Risks, Easing Tariff Worries

A view shows an oil pump jack outside Almetyevsk, in the Republic of Tatarstan, Russia July 14, 2025. REUTERS/Stringer/ File Photo
A view shows an oil pump jack outside Almetyevsk, in the Republic of Tatarstan, Russia July 14, 2025. REUTERS/Stringer/ File Photo
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Oil Prices Inch up on Geopolitical Risks, Easing Tariff Worries

A view shows an oil pump jack outside Almetyevsk, in the Republic of Tatarstan, Russia July 14, 2025. REUTERS/Stringer/ File Photo
A view shows an oil pump jack outside Almetyevsk, in the Republic of Tatarstan, Russia July 14, 2025. REUTERS/Stringer/ File Photo

Oil prices edged up on Thursday on signs of easing trade tensions, stronger than expected economic data from the world's top oil consumers and renewed risks in the Middle East.

Brent crude futures were up 17 cents, or around 0.3%, to $68.67 a barrel at 0856 GMT. US West Texas Intermediate crude futures were up 31 cents, or 0.5%, at $66.69.

"Oil thinking has been distracted from the Middle East, and the reminders of Israel's attacks into Syria and the drone attacks on oil infrastructure in Kurdistan are timely and once again add a little fizz to proceedings," said John Evans, analyst at PVM Oil Associates, Reuters reported.

"Any other incident that deprives the market of barrels will be added to the low inventory narrative and we expect prices to continue to hold with any risk being to the upside."

Drone attacks on oilfields in Iraq's semi-autonomous Kurdistan region have slashed crude output by up to 150,000 barrels per day, two energy officials said on Wednesday, as infrastructure damage forced multiple shutdowns.

Meanwhile, US President Donald Trump has said letters notifying smaller countries of their US tariff rates would go out soon, which along with his renewed optimism about prospects of a deal with Beijing on illicit drugs and an agreement possible with Europe helped calm investors.

"Trump softened tones on China and proposed lower tariff rates on smaller countries, which are seen as positive developments in the global trade outlooks," said independent analyst Tina Teng.

"China's better-than-expected economic data and the US's larger-than-expected oil inventory draw have both been bullish factors for oil prices."

US crude inventories fell more than expected by 3.9 million barrels to 422.2 million barrels last week, the Energy Information Administration said on Wednesday, suggesting stronger refinery activity, tighter supply, and increased demand.

However, larger than expected builds in gasoline and diesel inventories capped price gains, raising concerns of weakening demand from summer travel, ANZ analysts said in a note on Thursday.

Data showed that China's June crude oil throughput was up 8.5% from a year ago, implying stronger fuel demand.