High cost of living persists as inflation rate falls in December
Business
By
David Njaaga
| Dec 29, 2023
The inflation rate in Kenya dropped slightly to 6.6 per cent in December 2023, from 6.8 per cent in November 2023, according to the Kenya National Bureau of Statistics (KNBS).
The inflation rate, which measures the average change in prices of goods and services consumed by households, remained high due to an increase in prices of commodities such as transport, housing, water, electricity, fuel, and food.
These items account for over 57 per cent of the Consumer Price Index (CPI), which is used to calculate the inflation rate.
According to KNBS, the transport index increased by 11.7 per cent in the last 12 months (December 2022 - December 2023), mainly due to the higher fuel prices and public transport fares.
The housing, water, electricity, gas and other fuels index increased by 8.3 per cent in the same period, owing to the higher prices of electricity, kerosene, cooking gas and rent.
READ MORE
Madagascar tycoon to buy Zuku parent firm Wananchi Group
How container cash deposits are creating a problem for Kenyan traders
Gold rush: How illegal gallbladder trade threatens Lake Victoria fishers
Real estate posts high productivity as challenges hit wholesale, retail sectors
Agencies in fresh plan to market Kenyan coffee
AI-driven smart borders transform travel security
Fresh test for Ruto as IMF urges new tax policies to unlock loans
Kenya's nuclear power plan faces significant cost hurdles
Healthcare and business: Diana Okello's journey in aviation medicine niche
How access to credit is boosting tech adoption, earnings for SMEs
Food and non-alcoholic beverages index increased by 7.7 per cent in the same period due to the higher prices of some food items such as maize flour, potatoes, tomatoes, onions, cabbages, carrots and milk.
KNBS collects retail prices for the compilation of the CPI every month from selected retail outlets across the country.
Out of the 50 data collection zones, 14 are located in Nairobi while 36 are in other urban areas.
- How Mithika Linturi survived impeachment
- Privacy clash: Airbnb bans CCTV as Cabinet insists on surveillance
- Girl hacks mother to death in tussle over mobile phone