Kenya Inflation Rate Rises to 4.35% YoY in March


The annual inflation rate in Kenya rose to 4.35 percent in March 2019 from 4.14 percent in the previous month and above market expectations of 4.2 percent. Prices went up further mainly due to food & non-alcoholic beverages and transport.

Year-on-year, prices advanced at a faster pace for food & non-alcoholic beverages (2.84 percent from 1.09 percent in January); transport (10.08 percent from 9.56 percent); health (4.51 percent from 4.47 percent); and alcoholic beverages (7.71 percent from 7.33 percent). On the other hand, cost slowed for housing & utilities (8.19 percent from 12.35 percent); clothing & footwear (2.37 percent from 2.43 percent); furnishings & household equipment (2.95 percent from 3.03 percent); miscellaneous goods & services (3.15 percent from 3.16 percent); and recreation & culture (0.58 percent from 0.83 percent). Additionally, inflation was steady for restaurants & hotels (at 3.04 percent, the same as in February); communication (4.52 percent); and education (1.24 percent).

On a monthly basis, consumer prices increased 1.6 percent, after a 0.82 percent gain in February. It was the highest monthly inflation rate since April 2017, as main upward pressure came from cost of food & non-alcoholic beverages (3.30 percent from 1.70 percent), mostly due to the prevailing draught conditions causing the costs of some foodstuffs; and transport (0.42 percent from -0.50 percent), due to a rise in pump prices of petrol and diesel. Meanwhile, cost of housing & utilities fell 0.06 percent, after rising 0.12 percent in February, mainly due to lower cost of electricity which outweighed increase in house rents and cooking fuels. 

Kenya Inflation Rate Rises to 4.35% YoY in March


Kenya National Bureau of Statistics | Stefanie Moya | stefanie.moya@tradingeconomics.com
3/29/2019 1:10:18 PM