The unemployment rate in Egypt increased to 7.4 per cent during the third quarter of 2022, up from 7.2 per cent in the second quarter of the year, the state-statistics agency reported. The agency said that the number of unemployed people in the country increased to 3.5 million during the third quarter, from 3.4 million in the second quarter. The agency attributed the increase in unemployment to the continued effects of the coronavirus pandemic on the economy.
The Central Agency for Public Mobilisation and Statistics (CAPMAS) has released new data indicating that the number of unemployed people in the local market increased by 99,000 people to 2.25 million during the third quarter of the year. This represents a 4.4% increase in unemployment from the previous quarter.
The CAPMAS report attributes the rise in unemployment primarily to the ongoing effects of the coronavirus pandemic and the resulting economic downturn. With businesses shutting down and many people losing their jobs, the number of unemployed people has risen sharply in recent months.
The CAPMAS report also notes that the youth unemployment rate continues to be high, with nearly one in three young people aged 15-29 not employed.
According to the most recent data from the Egyptian government, the unemployment rate in Egypt was 1.3 million for males and 934,000 for females in the same period. This represents a significant disparity between the two sexes, with unemployment impacting males at a much higher rate than females. While the reasons for this are not entirely clear, it is likely due to a combination of factors including educational opportunities, workplace discrimination, and cultural norms.
According to the latest figures released by the government agency, the labour force is estimated to be 30.264 million individuals, compared to 29.985 million individuals during the previous quarter; an increase of 0.9 per cent. This uptick in the number of people employed is a positive sign for the economy, as it indicates that more people are finding work and contributing to society. The agency expects the trend to continue in the coming months, as more businesses reopen and begin hiring again after the pandemic.
The Ukrainian crisis has had a negative impact on the Egyptian economy. Food prices have risen, supply chains have been disrupted, and energy prices have increased. This has put a strain on families and businesses alike. The Egyptian government has responded by increasing subsidies and introducing new measures to stabilise the economy, but the crisis has nonetheless taken a toll.
Egypt has recently concluded a $3 billion agreement with the International Monetary Fund (IMF). The deal was accompanied by an economic reform package and the devaluation of the local currency. The agreement is part of a larger $12 billion loan that the IMF has pledged to Egypt.
The loan is meant to help Egypt stabilise its economy and put the country on a path to sustainable growth. In return, Egypt has committed to implementing a series of reforms, including reducing its budget deficit, reforming its subsidies system, and liberalising its exchange rate.
The devaluation of the currency is intended to help Egypt’s economy become more competitive. It is hoped that the loan and the reforms will help Egypt to create jobs, attract foreign investment.