Egypt's inflation rate increases to 7 percent in October

Inflation picks up in October 2012 after a relative decrease in the previous three months Egypt’s inflation rate grew to seven per cent in the 12 months to October 2012, marking a significant rise on September’s rate, official data showed Saturday. Local prices rose 6.2 per cent in the 12 months to September. The increase in natural gas and butane prices were the main driver behind the rise in inflation, increasing 57.8 per cent in October 2012 over September 2012, and a whopping 175 per cent over October 2011. On an annual basis, vegetables saw the second largest increase in prices, growing 18.5 per cent in the year to October 2012. Inflation had eased to levels below seven per cent in the third quarter of 2012, mainly due to lower prices in the same quarter a year earlier. Figures from state statistics agency, CAPMAS, showed Egypt's food inflation at an annual 8.2 per cent rate in October, down from 9.1 per cent the month before, reflecting an easing in global food prices. The drop is due to a monthly decline in vegetable prices by 8.4 per cent. From Ahramonline