Like Pakistan, in this Muslim country also there is severe economic crisis, shortage of food and drink.
Egypt, the most populous country in the Middle East, is currently facing a serious economic crisis. People are unable to buy food and drink easily and are forced to cut down on even basic necessities. The wages of the working class have halved and people cannot withdraw their money deposited in banks as banks have put a cap on withdrawals. The country’s currency, the pound, has been heavily devalued, causing inflation to skyrocket.
40-year-old Munim Ahmad Hasan, a resident of Shubhra in Khairana, told a website that he has three children and is finding it difficult to maintain them amid inflation. Hasan said that when we go shopping, instead of buying three kilos of rice, we are able to buy only one kilo or half a kilo of rice. We are trying to reduce our cost. But what can we stop buying? Children need many things.
The Egyptian currency has devalued by almost a third since the end of October 2022, and inflation is currently above 20%. Some economists say the situation is worse. He says that at present the inflation can be up to 101%.
Many experts are saying that Egypt is on the heels of Lebanon in the Middle East. Lebanon has been facing a severe economic crisis since 2019.
How did such a situation arise in Egypt?
The country’s internal problems are responsible for the situation in Egypt. These include political unrest, corruption and government mismanagement. Along with this, Kovid-19, Russia-Ukraine war and global recession have played a role in worsening the situation.
Egypt’s condition has worsened due to economic mismanagement. The Covid pandemic has taken a toll on the country’s economy. Tourism revenue used to be a major part of Egypt’s income, but tourists stopped coming to the country during the COVID pandemic. Then the Russo-Ukraine War caused a grain shortage in Egypt. Egypt, the world’s largest wheat importer, used to buy wheat only from Russia and Ukraine, but due to the outbreak of war, the import of wheat stopped. The rising price of wheat in the global market has worsened Egypt’s condition.