Inflation in Egypt.. An Inevitable Result of Unjust Capitalist Policies and Ruling by Other Than What God Has Revealed
News:
Mazeed platform stated on its website on Wednesday, June 4, 2025, that the Central Bank of Egypt announced an increase in the annual core inflation rate to 13.1% in May 2025, compared to 10.4% in April, while the general inflation rate in cities recorded 16.8%, exceeding analysts' expectations, as a result of rising fuel and basic commodity prices, which led to a sharp increase in the cost of living.
Comment:
These figures are not just numbers in official bulletins, but rather screams from the mouths of the hungry, groans from the chests of the poor, and pain felt by everyone who is unable to buy food, treat their children, or pay their bills.
These economic crises are not inevitable fate or a temporary occurrence, but rather inevitable results of corrupt capitalist economic policies followed by the Egyptian state at the direct dictation of the International Monetary Fund, within what is falsely called economic reform. What is happening in Egypt today is systematic starvation of the people, and a continuous stripping of them of the lowest means of living, in exchange for the satisfaction of colonial countries and international financial institutions.
In capitalist systems, inflation is not seen as a problem that must be eradicated from its roots, but rather managed and exploited according to the interests of the capitalist classes, banks, and large companies. The reality is that inflation in Egypt today is not the result of natural market forces, but rather of political decisions dictated by the International Monetary Fund, including liberalizing the exchange rate, lifting subsidies on fuel, increasing taxes and fees, and privatizing what remains of the public sector. All of this falls under reducing the budget deficit at the expense of the poor, and increasing revenues to service debts, not to serve the people.
Official reports have confirmed that one of the reasons for the recent inflation in Egypt is the rise in fuel prices, a step that came in implementation of the state's commitments to the Fund to liberalize energy prices, which led to a series of increases in the prices of transportation, food, and medicine. Are these the policies that preserve people's dignity? Or are they sacrifices offered on the altar of financial colonialism?
The capitalist economic system by its nature is not based on meeting the basic needs of every individual, but rather on accumulating wealth in the hands of a small minority, and opening markets for global companies to plunder resources. Under this system, the state turns into a tool to serve the interests of the business class, not to serve the people.
Al-Sisi's regime, and those before him, did not rule by Islam, but rather ruled by what pleases America and the International Monetary Fund. They opened the doors to foreign investments protected by legislative guarantees, while imposing taxes on small merchants and workers, and lifting subsidies on the poor, while billions are lavished on ostentatious projects that do not satisfy hunger. Where is the justice in that?! And where is the rule of Islam?!
Islam, when it took charge of life's affairs, established a just economic system based on taking care of people's affairs, not exploiting them, and on achieving sufficiency for every individual, not at the expense of anyone. Islam absolutely prohibits usury in all its forms, which is the basis of the global banking system that has made Egypt today mired in debt and subject to the hegemony of the Monetary Fund. Also, Islam made oil, gas, and minerals public property, not the property of the state or private companies. The Prophet ﷺ said: "People are partners in three things: water, pasture, and fire." Therefore, selling fuel and gas and profiting from them, in addition to liberalizing their prices and privatizing resources, is an attack on the ownership of the nation, and a crime against it, and not an economic reform. As for inflation resulting from raising prices deliberately, or from printing currency without backing, and the currency being paper with no value, it is clear injustice, which contradicts the provisions of Islam, and theft of people's efforts and savings, while Islam made money gold and silver because of their intrinsic value.
The solution is not in economic patching or austerity programs, but rather in uprooting the capitalist system from its roots, and establishing the Rightly-Guided Caliphate on the method of Prophethood, which applies Islam in the economy as in politics and education, and makes wealth a trust to serve the nation, not a tool to plunder it. The Caliphate state applies a monetary system linked to gold and silver, which preserves the value of the currency and prevents inflation. It distributes wealth fairly, and provides the basic needs of food, clothing, housing, education, and treatment for every individual in the state. It holds rulers accountable, and prevents economic and political dependency.
O people of Egypt: This economic calamity is nothing but a bitter fruit of ruling by other than what God has revealed. Is there any distress after this distress? And is there any lesson after this collapse?! The duty upon you is not just to protest against prices, but to work hard to resume the Islamic way of life, establish the Caliphate, and eradicate these agent regimes that mortgage your capabilities in the hands of the colonizers.
O soldiers of Kinana: Is it not time for you to realize that whoever makes people taste hunger and high prices, and mortgages their capabilities to the Monetary Fund, does not care for a nation, but rather betrays it?! Is it not time to say the word of truth in the face of those who sold the land, humiliated the people, and subjected the country to the orders of the colonizers?!
You are the people of strength and immunity, and you are able, by God's permission, to support your religion, restore the authority of Islam, and establish the Rightly-Guided Caliphate on the method of Prophethood. So do not make your strength a shield for the oppressors, but rather a protection for the nation and a shield for Islam. You are a force capable of restoring the Islamic state that guarantees people to live in security, justice, and sufficiency, in which dignity is preserved and humiliation is lifted from the necks of people. In it, usury is prevented, money is distributed fairly, and rights are given without favor or coercion. In it, no hungry poor person is left, no sick person without medicine, and no student without knowledge. In it, dependency contracts and their restrictions end, sovereignty is restored, and rulers are subject to the rule of Sharia, under Islam and its state, the Rightly-Guided Caliphate on the method of Prophethood, may God hasten it and make the soldiers of Egypt its supporters.
﴿O you who have believed, respond to God and to the Messenger when he calls you to that which gives you life.﴾
Written for the Central Media Office of Hizb ut-Tahrir
Mahmoud El Lithy
Member of the Media Office of Hizb ut-Tahrir in the Wilayah of Egypt