Inflation edges up to 5.1pc in May amidst price hikes in key sectors

Business
By David Njaaga | May 31, 2024
Inflation edges up to 5.1 per cent in May as key sectors witness price hikes.[Standard,File]

A new report by the Kenya National Bureau of Statistics (KNBS) reveals that inflation rose to 5.1 per cent in May, up from 5.0 per cent in April.

The increase was primarily driven by a surge in prices of commodities under transport, housing, water, electricity, gas, and other fuels.

The Consumer Price Index (CPI), which measures the annual headline inflation rate, shows the general price level in May 2024 was 5.1 per cent higher than in May 2023.

KNBS attributed the rise in prices mainly to commodities under transport (8.1 per cent), food and non-alcoholic beverages (6.2 per cent), and housing, water, electricity, gas, and other fuels (4.4 per cent) between April and May 2024.

The divisions account for over 57 per cent of the weights of the 13 broad categories.

The CPI and inflation data are generated from a monthly survey of retail prices targeting a representative basket of household consumption goods and services.

Data collection occurs in the second and third weeks of the month from a representative sample of outlets located in 50 data collection zones across the country.

The index increased from 138.40 in April to 139.85 in May, attributing to a monthly inflation of 1.0 per cent.

The food and non-alcoholic beverages index increased by 2.0 per cent in the same period. Spinach, kale ("sukuma-wiki"), tomatoes, and Irish potatoes increased by 18.2, 15.0, 14.0, and 6.2 per cent, respectively.

However, during the same period, the price of sifted maize flour, fortified maize flour, loose maize grain, and white wheat flour decreased by 3.2, 2.3, 1.6, and 1.3 per cent, respectively.

The housing, water, electricity, gas, and other fuels index increased by 1.2 per cent. However, the price of gas/LPG and kerosene dropped by 0.6 per cent and 1.0 per cent.

The transport index increased by 0.2 per cent between April and May, with prices of petrol and diesel dropping by 0.5 per cent and 0.7 per cent respectively.

Share this story
Safaricom posts Sh58.2 billion net income as M-PESA drives growth
Safaricom Kenya has reported a 22.6 per cent year-on-year rise in net income to Sh58.2 billion in the first half of the 2025/2026 financial year.
CS Wandayi roots for technology to address energy sector challenges
Energy CS Opiyo Wandayi has called for the adoption of technological innovations to address issues affecting the energy sector.
KPA acquires modern boats to boost efficiency
An earlier 14-day shipping list indicated that there were 52 ships expected to arrive at the two ports, mostly in Mombasa.
New hybrid solar system to help off-grid areas get clean energy
Its compact, plug-and-play design means it can be deployed rapidly even in harsh or isolated environments.
MPs demand public participation before housing, market projects begin
The MPs warned that projects that lack community input will not be approved.
.
RECOMMENDED NEWS