The year on year headline inflation as measured by the Consumer Price Index (CPI) was 3.0 per cent in December 2024.
This means that the general price level was 3.0 per cent higher in December 2024 than it was in December 2023.
According to the Kenya National Bureau of Statistics, price increase was mainly driven by the rise in prices of commodities under Food and Non-Alcoholic Beverages (4.8%); and Transport (0.2%) between December 2023 and December 2024.
Which commodities had declined in prices?
However, the commodity prices in Housing, Water, Electricity, Gas and other fuels declined by 0.2 per cent between between December 2023 and December 2024. These three divisions account for over 57 per cent of the weights of the 13 broad categories.
The CPI reflects the cost of purchasing a fixed basket of goods and services, and indexes the current year’s prices relative to a base period values (February 2019).
The CPI and consequent inflation rate is generated from data collected through the monthly survey of retail prices that targets a basket of household consumption goods and services.
The data collection is undertaken in the second and third weeks of the month from a statistically representative sample of outlets in urban centres located in 50 data collection zones spread across the country.
In addition, the overall index increased from 140.81 in November 2024 to 141.66 in December 2024, resulting in an inflation of 0.6 per cent over that period.
The Food and Non-Alcoholic Beverages Index increased by 0.7 per cent between November 2024 and December 2024.
Prices of which commodities increased in December 2024?
In particular, prices of maize flour-sifted, fortified maize flour and maize flour-loose rose by 7.0, 5.8 and 1.8 per cent, respectively, between November 2024 and December 2024, which provides national average prices of selected items.
Prices of mangoes, potatoes (Irish) and cabbages dropped by 6.2, 5.0 and 2.8 per cent, respectively, between November 2024 and December 2024.
The Housing, Water, Electricity, Gas and Other Fuels’ Index increased by 0.2 per cent between November 2024 and December 2024.
The increase was attributable to a rise in price of 50 kWh and 200 kWh of electricity by 0.6 per cent and 0.5 per cent, respectively, between November 2024 and December 2024.
Prices of kerosene/paraffin, however, declined by 2.0 per cent in the same period.
Tansport Index increased by 1.8 per cent between November 2024 and December 2024, mainly due to a surge in fares of country bus/matatu in some routes by up to 50.0 per cent, in the the month of December.
Meanwhile, prices of diesel and petrol, however, declined by 1.8 per cent and 2.4 per cent, respectively, between November 2024 and December 2024.
