Annual consumer price inflation, as measured by the Consumer Price Index (CPI), was 4.5 per cent in August 2025. This implies that the general price level was 4.5 per cent higher in August 2025 than it was in August 2024.
According to the Kenya National Bureau of Statistics (KNBS), the price increase was primarily driven by a rise in prices of items in the Food and Non-Alcoholic Beverages (8.3%); Transport (4.4%), and Housing, Water, Electricity, Gas and other fuels (0.8%) over the year. These three divisions together account for over 57 per cent of the total weight across the 13 major expenditure categories.
Which items registered a drop in prices in August 2025?
KNBS data shows that in August 2025, price drops were observed for items such as fresh unpacketed cow milk (-0.9%), fortified maize flour (-1.7%), sifted maize flour (-1.5%), beans (-0.7%), loose maize grain (- 0.4%), and oranges (-0.7%).
On the other hand, notable increases were recorded for vegetables, with cabbage prices registering the highest rise at 6.3%, followed by carrots (2.4%), sukuma wiki (1.9%), and tomatoes (1.2%). Prices of wheat flourwhite and price of onion bulbs, and leeks rose by 0.9% each, while prices of potatoes increased by 0.7%.
Prices in the transport division showed mixed developments. Petrol prices decreased by 0.5%, while diesel prices remained unchanged during the month. On the other hand, passenger transport costs rose significantly, with the country bus/matatu fare for the Mombasa to Nairobi route recording a sharp increase of 15.4%. Similarly, local transport costs went up, as tuk-tuk fares rose by 1.5%.
Similarly, prices in the housing, water, electricity, gas, and other fuels division showed varied movements. Electricity charges decreased, with 50kWh band prices dropping by 2.3% and 200kWh band prices declining by 2.1% with kerosene/paraffin prices also falling by 0.6%. However, single-room house rent increased by 0.1% and gas/LPG prices increased by 0.4%.
It was the same case for prices in the alcoholic beverages, tobacco, and narcotics division. While the price of beer (lagers and stouts) declined by 0.1%, spirits prices registered a modest increase of 0.5%. Miraa (khat) recorded the highest price rise within the category, increasing by 1.6%.
The clothing and footwear division also showed both declines and increases. The cost of men’s leather shoes and men’s shirts dropped by 0.3% and 0.1%, respectively. In contrast, upward movements were noted for other clothing items, with kanga/kikois prices rising by 1.1%, girls’ school uniforms prices by 0.4%, and men’s suits prices by 0.6%.
The Furnishings, Household Equipment and Routine Household Maintenance Index recorded a slight overall decrease of 0.2%. Declines were observed in detergents prices (-1.4%), mattresses prices (-0.3%), and laundry/bar soap prices (-0.1%). Conversely, the cost of domestic servants rose by 0.2%.
Cost of healthcare in Kenya in August 20025
Meanwhile, prices in the health division recorded slight but varied changes. The cost of medicines for cholesterol and blood pressure, as well as fever and painkillers such as paracetamol, declined by 0.2%. In contrast, increases were noted in the cost of medicines for diabetes (0.6%), laboratory tests (0.4%), and general practitioners’ services (0.1%).
The prices of mobile handsets fell by 0.2%, while television prices also dropped by 0.1%. On the other hand, TV subscription fees for private services such as DSTV rose by 1.5% in August 2025.
Prices of school textbooks for tertiary institutions declined by 0.3% and exercise book prices dropped slightly by 0.1%. In contrast, upward price changes were noted for school textbooks at the secondary level (0.1%) and tour/honeymoon packages (0.1%).
Diploma fees declined slightly by 0.2%, while private secondary school tuition prices rose by 0.8%.
Prices in the restaurants and accommodation services division registered slight increases across all categories. Prepared food from cafés and takeaways prices rose by 0.3%, beverages in hotels and restaurants prices increased by 0.3% and lodging and guest prices recorded a smaller rise of 0.2%.
