Nielsen and Dcode partner to deliver the first-of-its-kind leadership roundtable discussion
Cairo, Egypt– May 11 2015 – Nielsen, a leading global provider of information and insights, and Dcode Economic & Financial Consulting (Dcode EFC), a prominent economic intelligence and financial advisory firm providing solid forecasts of Egypt’s economic variables, have joined efforts to deliver a unique proposition to leaders of industry, The Market Tip.
The Market Tip is a quarterly forum that provides the ideal platform for discussion amongst company leaders and industry gurus about trends and market shifts that are approaching and re-defining to the way business is conducted.
The discussion this quarter is centered on key points covered during the recent Egypt Economic Development Conference, with a specific focus on the expected implications regarding the implementation of the proposed Value-Added-Taxes (VAT) law in Egypt.
“Our survey results show that only 20% of consumers are aware that there is an impending increase in VAT on their usual purchases,” noted Tamer El Araby, Managing Director, Nielsen North Africa & LEVANT. “An increase in prices is one setback when it comes to purchasing behavior, not knowing where the increase is coming from can have a significant impact on consumer loyalty.”
“The targeted additional VAT revenues as announced by the government stands at EGP 32 bn. The chosen rate, that will range between 12.5% and 15%, will have a significant impact on inflation hikes to range between 2% - 3.5% as producers will pass on this additional cost to consumers, before inflation recedes to its normal levels” noted Mohamed Farid Saleh, Chairman and CEO of Dcode Economic and Financial Consulting.
He also mentioned that “The social implications of higher inflation and its impact on consumer purchasing power is high, especially for food items that represent 40% of a typical household consumption. Private consumption was the main driver for Egypt’s economic growth that averaged 2.1% during the last three fiscal years and constitutes more than 80% of Egypt’s economy, while food and beverages items prices increased by almost 58% since January 2011”
Nielsen N.V. (NYSE: NLSN) is a global performance management company that provides a comprehensive understanding of what consumers Watch and Buy. Nielsen’s Watch segment provides media and advertising clients with Total Audience measurement services across all devices where content—video, audio and text—is consumed. The Buy segment offers consumer packaged goods manufacturers and retailers the industry’s only global view of retail performance measurement. By integrating information from its Watch and Buy segments and other data sources, Nielsen provides its clients with both world-class measurement as well as analytics that help improve performance. Nielsen, an S&P 500 company, has operations in over 100 countries that cover more than 90% of the world’s population. For more information, visit www.nielsen.com/eg.
ABOUT Dcode EFC
Dcode Economic and Financial Consulting (Dcode EFC) is a growing economic and financial consulting firm currently operating in Egypt. It provides a wide array of consulting services to businesses and organizations that are tailored to address their increasing interest and need to monitor, analyze, understand, and forecast the Egyptian economy’s trends and linking this to private businesses to support them to achieve their potential through innovative financial restructuring and business planning Dcode EFC’s services are grouped under Economic Advisory, Government Relations, Consulting, and Financial Advisory. For more information, visit www.dcodeefc.com