Egypt's annual urban consumer price inflation rate has declined to 17.1 percent in January, down from 21.9 percent in December, Egypt’s official statistics agency CAPMAS announced on Thursday.

Month-on-month consumer prices dropped by 0.1 percent after having fallen 0.2 percent in December.

Annual food and beverage prices rose by 16.6 percent in January compared to 25.2 percent the previous month.

Annual prices have been affected by the slowing rise in food and beverage prices, which make up the biggest single component of the basket of goods and services.

The country's inflation had shot up after Egypt floated the pound in November 2016, reaching a record high last summer following cuts to fuel subsidies. 

However, the inflation rate has been gradually falling since July 2017.