COST OF LIVING

June inflation hits 16-month high, peaks to 6.32%

The increased cost of living was mainly driven by rise in prices for most commodities

In Summary
  • Monthly inflation data by KNBS shows the overall rate of inflation in June was 6.32 per cent, compared to the 5.87 per cent recorded in May.
  • In the latest figures, the Consumer Price Index (CPI) increased by 0.12 per cent from 114.977 in May to 115.110 in June.
A display of tomatoes at Kangemi Market
A display of tomatoes at Kangemi Market
Image: MERCY MUMO

The cost of living hit a 16-month high in June rising to levels last seen in February 2020, on account of increased cost of food.

The monthly inflation data by the Kenya National Bureau of Statistics (KNBS) shows the overall rate of inflation in June was 6.32 per cent, compared to the 5.87 per cent recorded in May.

“The increase was mainly driven by rise in prices for commodities under: food and non-alcoholic beverages; housing, water, electricity, gas and other fuels; and transport between June 2020 and June 2021,” said Macdonald G. Obudho, KNBS Director General in a statement.

In the latest figures, the Consumer Price Index (CPI) which measures the percentage change in the price of a basket of goods and services consumed by households, increased by 0.12 per cent from 114.977 in May to 115.110 in June.

The month to month Food and Non-Alcoholic Drinks’ Index increased by 0.06 per cent between May and June.

The increase in food index was mainly attributed to increases in prices of some food items, which outweighed the decrease in prices of other foodstuffs.

The prices of kale (sukuma wiki), melons and spinach increased by 3.42, 3.40 and 2.52 per cent, respectively.

A kilo of sukumawiki retailed at Sh55.83 in June an increase from Sh53.98 in May.

On the other hand, prices of tomatoes and onions (leeks and bulbs) decreased by 3.61 per cent and 1.67 per cent, respectively.

The price of kilo of tomatoes dropped from Sh110.15 in May to Sh106.18 in June.

The Housing, Water, Electricity, Gas and Other Fuels’ Index, increased by 0.18 per cent between May 2021 and June 2021.

This was mainly attributed to increase in prices of electricity, which went up by 5.61 per cent and 3.95 per cent for 50 Kilowatts and 200 Kilowatts, respectively.

The Transport Index increased by 0.28 per cent, attributed to an increase in prices of petrol, which went up by 0.61 per cent between May 2021 and June 2021.