INFLATION

Cost of living eased in February - KNBS data

The CPI increased by 0.40 per cent from an index of 118.642 in January.

In Summary

•Kenya National Bureau of Statistics announced on Monday, that the month-to-month Food and Non-Alcoholic Beverages Index increased by 0.83 per cent to 8.69 per cent between January 2022 and February 2022. 

•The CPI increased by 0.40 per cent from an index of 118.642 in January.

A trader sells oranges along the Streets of Marikiti Market in Nairobi on February 21, 2022,Photo/Fredrick Omondi
A trader sells oranges along the Streets of Marikiti Market in Nairobi on February 21, 2022,Photo/Fredrick Omondi

The cost of living marginally dropped in February, partly driven by a drop in some food items like cabbages and mangoes.

This saw the overall year-on-year inflation rate drop to 5.08 per cent in February 2022 despite increase in other food prices.

This is a 0.41 per cent drop from 5.39 per cent inflation rate in January.

Kenya National Bureau of Statistics latest inflation data announced released on Monday shows that the month-to-month Food and Non-Alcoholic Beverages Index increased by 0.83 per cent between January 2022 and February 2022 to 8.69 per cent. 

There was increase in household equipment and routine household maintenance (5.41 per cent); housing, water, electricity, gas and other fuels (4.79 per cent); and transport (4.45 per cent) between February 2021 and February 2022.

The Consumer Price Index increased by 0.40 per cent from 118.642 in January to 119.115 in February.

KNBS director general Macdonald Obudho said this was mainly attributed to increase in prices of some food items, which outweighed the decrease in prices of others.

Furnishings, Household Equipment and Routine Household Equipment Index, increased by 0.74 per cent between January 2022 and February 2022. This was mainly attributed to increases in prices of laundry soap/bar soap and detergents.

The Housing, Water, Electricity, Gas and Other Fuels’ Index, increased by 0.12 per cent between January 2022 and February 2022.

Prices of cooking fat, capsicums (pilipili hoho), potatoes (Irish) and maize flour-sifted increased by 5.20, 3.69, 2.64 and 2.32 per cent in February 2022, respectively.

During the same period, prices of mangoes, goat milk and cabbages decreased by 3.33, 2.53 and 0.28 per cent, respectively.

"Prices of food items in February 2022 were relatively high compared with prices of food items recorded in February 2021," Obudho said.

In February, Kenyans took to social media to protest high food prices, trending #LowerFoodPrices for five straight days 

They faulted the government for failing to address high food prices that is pushing poor households to starvation, with major concerns being around basic food commodities such as sifted maize flour, bread, vegetables and fruits.

JP Morgan has cautioned that the cost of living could edge up by the Russian - Ukraine tension.

The International Monetary Fund (IMF) has also warned that the conflict between Russia and Ukraine poses a global economic risk, that could derail post-Covid 19 recoveries by countries and regions.

This comes as the impact starts to be felt across economies, with global fuel prices hitting a high of above $100 per barrel last week, which will increase the cost of transport, manufacturing, and ultimately the cost of living.


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