The cost of living in Kenya dropped to a 10-month low in April due to a slight decrease in global fuel prices and lower vegetable prices on ongoing rains.
Data by the Kenya National Bureau of Statistics (KNBS) shows the price for a kilo of kale dropped to Sh63.55 from Sh71.87 while that of spinach dropped to Sh72.80 compared to Sh78.99 in March.
Prices per kilo of cabbage eased to Sh53.57 during the period under review from Sh65.17 in March, and so did that of tomatoes which dropped slightly from Sh113.12 to Sh112.69.
Fuel prices remained constant at Sh180.05 for a litre of petrol and Sh162.91 for diesel. Even so, global fuel prices eased, with a barrel of crude oil going for $73.4 from $92.6.
Prices of basic foodstuffs like maize flour, sugar, potatoes and beans dropped by rose by 1.6 per cent, 1.9,7.2 per cent and five per cent as the effects of the prolonged drought and importation challenges slowly eased.
The statistician has hailed monetary policy measures put in place by the Central Bank of Kenya (CBK) to calm the rising cost of living.
Last month, it raised the anchor rate by 75 basis points to 9.5 per cent.
The apex bank said that it noted the sustained inflationary pressures, the elevated global risks and their potential impact on the domestic economy prompting the need to tighten lending rates.
Central banks globally use the interest rates as either a gas pedal or a brake on the economy when needed.
They set the short-term borrowing rate for commercial banks, and the banks pass it along to consumers and businesses.
With inflation running high, they can raise interest rates and use that to pump the brakes on the economy in an effort to get inflation under control.
Even so, the overall cost of food and non-food items remained high, with the Consumer Price Index rising to 131.83 from 131.18 in March.
The cost of food and beverages rose by 10.1 per cent compared to 13.4 per cent the previous month.
Housing, water, electricity, and gas rose by 9.6 per cent while transport went up to 9.8 per cent in just one year.
But at 7.9 per cent, the cost of living is still above the government’s highest target of 7.5 per cent.
