RIYADH: Egyptian inflation rose to a near-three year high in March and is expected to continue increasing on the back of the spillovers from the war in Ukraine and last month’s devaluation, Capital Economics said in a report. “We now think interest rates will be hiked by a further 350bp, to 12.75 percent, by end-2022. This is more tightening than the consensus currently expects,” the report said, citing James Swanston, Middle East and North Africa Economist at the researcher. Capital Economics expects the Egyptian government to raise the price of subsidized bread. “And the backdrop of higher global energy prices means the government’s automatic fuel pricing committee will continue to hike local fuel prices,” it added.