Egyptian economy experiences 'sharp fall' from Ukraine war
According a S&P Global, Egypt’s non-oil sector has taken a subtantial hit, and the government is focusing on wheat imports in particular.
A leading credit rating agency said today that the Russian-Ukrainian war is hurting Egypt’s non-oil sector.
The New York-based S&P Global released a report on Egypt’s Purchasing Managers’ Index. The index consists of surveys of businesspeople. A score above 50 indicates economic expansion, while one below 50 shows contraction. S&P Global is one of the “Big Three” credit rating agencies.
S&P Global gave Egypt a score of 46.5 for March, down from 48.1 in February. It was the sharpest decline since June 2020.
The Russian invasion of Ukraine, which began in February, led to “sharp decreases in output and new orders” among non-oil Egyptian companies. Inflation also hit energy, food and raw materials producers due to global concerns about supplies resulting from the war, according to the agency.
