Kenya Inflation Rate Highest in Over a Year at 5.71%


The annual inflation rate in Kenya rose to 5.71 percent in December 2018 from 5.6 percent in the prior month. It is the highest inflation rate since October 2017, as prices continued to advance for food and non-alcoholic beverages. Meantime, inflation remained elevated for housing & utilities and transport.

Year-on-year, prices rose faster for food & non-alcoholic beverages (2.54 percent vs 1.72 percent in November), especially carrots (14.86 percent); capsicums (22.74 percent) and Irish potatoes (38.17 percent). Also, inflation remained high overall for housing & utilities (13.47 percent vs 13.69 percent), namely charcoal (70.16 percent) and kerosene (46.58 percent); and transport (14.34 percent vs 15.57 percent), due to diesel (21.04 percent).

Meanwhile, cost slowed for clothing & footwear (3.41 percent vs 4.15 percent); furniture & household equipment (3.95 percent vs 4.37 percent); restaurants & hotels (3.60 percent vs 4.20 percent); miscellaneous goods & services (3.90 percent vs 4.18 percent); health (4.51 percent vs 4.81 percent); recreation & culture (1.04 percent vs 1.51 percent); education (4.93 percent vs 4.94 percent) and alcoholic beverages & tobacco (6.82 percent vs 7.20 percent).

On a monthly basis, consumer prices went up 0.65 percent in December 2018, following a 0.18 percent decrease in the previous month. Main upward pressure came from prices of: food & non-alcoholic beverages (1.05 percent vs -0.15 percent), such as tomatoes (13.17 percent) and carrots (8.86 percent); and transport (1.34 percent vs 0.81 percent), mainly on account of increase in local (7.44 percent) and international flight (0.63 percent) charges as well as bus (5.27 percent) and matatu fares (1.31 percent). Also, cost rebounded for housing & utilities (0.07 percent vs -1.24 percent), due to prices of charcoal (0.13 percent) and house rents (0.11 percent).

Kenya Inflation Rate Highest in Over a Year at 5.71%


Kenya National Bureau of Statistics | Luisa Carvalho | luisa.carvalho@tradingeconomics.com
1/2/2019 12:09:53 PM