European Bank forecasts higher economic growth rates in Egypt in 2015

The European Bank for Reconstruction and Development (EBRD) expected a remarkable improvement in growth rates in Egypt and the southern and eastern Mediterranean (SEMED) region.

In a report titled "Regional Economic Prospects", the EBRD foresaw a 4% growth rate in the SEMED region in 2015 to move up to 4.3% in 2016.

Egypt has benefited from the political reforms it adopted and some financial facilitation funded by Gulf Cooperation Council states, the EBRD report, of which MENA obtained a copy, said.

Growth rates in Egypt during the first half of 2014-2015 reached 5.5% compared to 1.2% in the preceding year backed by the high private consumption and investment rate, it added.

Egypt's growth rate increased to 4% in 2015 against 2.2% in 2014 and is forecast to hit 4.2% in 2016, it said.

However, unemployment rates remain high between 10% and 15%, it added.