Egypt’s GDP grew at a 5% clip in the third quarter of 1Q FY2019-2020, which ran from January to March, Planning Minister Hala El Said announced in a cabinet meeting yesterday. GDP had been expected to expand by 5.9% during the first three months of 2020, but fell short due to the covid-19 outbreak, El Said said. Tourism, manufacturing, and the wholesale and retail sectors contributed the most to the lower-than-expected growth, the statement says.

The economy is expected to grow 4% by the end of the fiscal year in July, down from a projected 5.8% before covid-19 took hold, El Said added. This would represent a loss of output worth nearly EGP 105 bn, or 2% of FY 2018-2019’s GDP. The government is pricing in an even sharper slowdown in FY2020-2021 if the pandemic continues into December after having significantly revised down its hypothetical forecast for the coming fiscal year to 2%.