During the second quarter of 2013, deprived households’ vulnerability to food insecurity increased, compared to a year earlier, according to the quarterly Egyptian Food Observatory report. Meanwhile, WFP monitoring indicates that Syrian families living in Egypt are adopting negative coping strategies to sustain household food intake, including borrowing money or food, and purchasing cheaper and less preferred foods. A slowdown in economic growth is expected for 2013/2014, while annual domestic inflation rates of food and non-food items are expected to rise in 2014. Should the Egyptian pound continue to depreciate in 2014, this would further deteriorate the purchasing power of vulnerable households.
The tense situation in Egypt continues to drive inflation, which averaged at 10% year-on-year during Q3-2013. Food inflation was particularly high at 13% year-on-year from July to September.