The Biggest Question for Egypt's Economy Isn't Going Away
A cyclist balances a bread board on his head as he rides in Cairo.
Photographer: Sima Diab/BloombergThis article is for subscribers only.
For all the money pouring into Egyptian bonds, it’s the trickle of longer-lasting commitments that’s keeping the economy vulnerable and feeding the discontent that spilled into last month’s protests against the government. Foreign direct investment fell for the first time in three quarters, bringing the fiscal 2019 total to $5.9 billion, the lowest since 2014. Despite the fastest economic growth in the Middle East and North Africa, consumer demand has yet to recover from runaway inflation after the pound was devalued in 2016, reducing incentives for companies to invest.