Washington - The World Bank (WB) predicts that the growth rate of the Egyptian economy would accelerate to 4.6 and 5.3 percent in the 2017/2018 and 2018/2019 fiscal years respectively.
In a fresh report issued on Monday, the WB said GDP is expected to grow by 3.9 percent in the current fiscal year, and will be largely driven by public investment and to some extent net exports.
Private investment is expected to pick up only in the second half of FY17, supported by enhanced competitiveness following the depreciation of the currency and the gradual implementation of business climate reforms, the report added.
Tourism is also expected to steadily recover on the back of a weaker currency, the report read.
Prudent monetary policy is projected to bring inflation down over the forecast horizon after the one-off effects of depreciation, subsidy reforms, and the introduction of VAT dissipate, it added.