It has been a difficult year for Egypt’s economic planners. In its earlier part, they had to contend with soaring food price inflation which sparked widespread public discontent and the occasional violent riot. Now that inflation is receding, the global financial crisis has struck, threatening the gains of four years of economic reform.
The mood of optimism underpinned by growth averaging 7 per cent over the past three years has distinctly changed in recent months, starting in May when the abolition of tax-free status for certain companies shook confidence and sent the stock exchange into a nosedive.
