December inflation rate hits year high

Products displayed at a supermarket. /FILE
Products displayed at a supermarket. /FILE

December inflation rose to a 12 month high of 5.71 per cent, Indicating tough economic environment endured by Kenyans through out 2018.

The rise is second to the one reported in September which touched an 11-month high of 5.70 per cent.

According to Kenya National Bureau of Statistics, prices for both food and non-food items rose marginally, pushing inflation from a low of 5.58 per cent in November.

April and May 2018 registered the lowest inflation rates of 3.73 per cent and 3.95 per cent respectively.

In the monthly survey released yesterday, food and non-alcoholic drinks went up by 1.05 per cent due to increase in some food items.

Transport increased by 1.34 per cent on account of increase in local and international flights as well as matatu fares.

“The upsurge in the transport, food, clothing, and foot ware prices was attributed to increased demand that was associated to Christmas festivities,” KNBS director general Zachary Mwangi said.

Over the review period Housing , water , electricity, gas and other fuel indicators increased by 0.07 per cent compared to November 2018. However, the cost of household electricity consumption for 50 as well as 200 Kilowatts per hour remained at the same level as November 2017.

While the price of sifted Maize flour increased by 2.64 per cent from Sh84.32 to Sh86.55 since November, it has decreased by 15.12 per cent from Sh101.97 in December 2017.

In the year ending December 2018, the price of onions also reduced by 34 per cent from Sh130.65 per kilogrammer

The price of tomatoes which was priced at Sh 94.52 per kilo in December 2017 reduced by 19.87 per cent. Maize grain cost decreased by 38.82 per cent from Sh57.29.

Wheat flour now retails at Sh 123.86 per kilo having reduced in cost by 8.47 per cent.

A kilo of Sukuma wiki has also reduced in price to Sh43.24 per kilo, a 0.99 per cent price reduction over the year and 3.16 per cent in the last one month.

On the flipside, commodities that have seen a sharp rise in their cost during the year include Charcoal jumping 70.16 per cent to Sh141.13.

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