Middle East & Central Asia News
LAST UPDATE: July 23, 2025
Egypt quarterly current account deficit eases to $2.1 billion on higher remittances
Egypt’s current account deficit narrowed to $2.1 billion in Q1 2025, down from $7.5 billion a year ago, supported by increased remittances, as reported July 22, 2025 by the central bank. (Reuters, Reuters)
Insight
The significant shrink in deficit shows Egypt’s growing reliance on diaspora inflows to boost stability. However, addressing structural fiscal and revenue challenges remains essential for sustainable external balance.
Morocco’s annual inflation steady at 0.4% in June
Morocco’s annual CPI inflation held at 0.4% in June 2025—the same level as the previous month—driven by food price pressures, according to the High Commission for Planning. (TradingView, Morocco World News)
Insight
Persistent low inflation suggests stable macro conditions, but food-driven pressures may stress low-income households. The authorities will likely balance monetary support with food security measures to maintain stability.
Pakistan central bank to publish monetary policy report twice a year
Pakistan’s central bank announced plans to publish its monetary policy report twice yearly, aiming to enhance transparency and accountability in its policy decisions. (Reuters)
Insight
Increasing transparency is a significant shift that could improve credibility. However, credibility will hinge on consistent policy actions and clarity in communicating rates and inflation outlook.
