BMI attributed this outlook largely to private consumption, which is expected to remain the economy's main growth engine, reaching 87% of GDP by 2034.
Despite the slight downward revision, the projected 4.7% expansion marks a notable improvement from the 3.9% growth BMI expects for the current FY2024/2025
Specifically, Egypt is expected to face particular challenges as the dollar strengthens, which will put downward pressure on currencies such as the Egyptian pound (EGP).
However, the report also noted that the Egyptian pound will face significant challenges.
Looking further ahead, BMI expects household spending growth to stabilize, with an average annual increase of 4.4% YoY, which will bring total spending to EGP 2.4 trillion by 2028.
