Kenya’s Inflation Rate hit a six year high of 10.28% in March 2017
Each month the Kenya National Bureau of Statistics (KNBS) releases Consumer Price Indices (CPI) and rates of inflation for the month under review. The overall inflation rate for the month of March, 2017 stood at 10.28 percent, compared to 9.04 percent in February 2017. Contrary, the inflation rate stood at 6.45 percent twelve months ago in March 2016. The Consumer Price Index (CPI) increased by 1.67 percent from 179.98 in February 2017 to 182.98 in March 2017.
According to KNBS, these numbers were generated using data collected during the second and third weeks of the month of March. The prices were obtained from selected retail outlets in 25 data collection zones which are located in Nairobi and in 13 other urban centres.
Food and Non-Alcoholic Beverages’ Index increased by 3.18 percent. This was mainly attributed to increases in prices of several food items including spinach, maize flour, milk, potatoes and maize grain which were partly contributed by prevailing drought conditions. The year-on-year food inflation stood at 18.56 percent in March 2017.
Housing, Water, Electricity, Gas and Other Fuels’ Index increased by 0.69 percent. This was partly due to increase in cost of house rents, cooking fuels and water services.
On the other hand, the Transport Index increased by 0.27 percent mainly on account of increases in the pump prices of petrol and diesel.
The table below highlights One Month and Twelve Months’ Changes in the Price Indices.