In a notable shift, Egypt's M2 money supply recorded a significant year-over-year decrease as of March 2025. The indicator stopped at 25.81% as compared to the previous year, reflecting a contrasting trend from the former marker of 33.90% documented in March 2024.
This decline suggests a contraction in the growth of total money supply, encompassing cash, checking deposits, and other easily convertible near money. The change is indicative of potentially restrictive monetary measures or a reaction to ongoing economic policies impacting liquidity. Experts are closely monitoring this shift, as it could impact various economic aspects, including inflation rates and investment activities within the nation.
The updated figures, released on May 5, 2025, point towards an environment where the Egyptian central bank might be grappling with balancing economic growth and managing inflation. As stakeholders digest these adjustments, further analysis will be crucial in understanding the broader implications for Egypt's economic landscape. This year-over-year comparison sheds light on dynamic shifts within the country's fiscal policies over the past year.
