Kenya’s Inflation Rises to 7.3% in October 2026 as Food and Fuel Costs Increase

According to the latest Consumer Price Index (CPI) data, the general price level in October 2026 was 7.3 per cent higher than in October 2025. The overall CPI increased from 156.47 in September to 157.60 in October, translating to a monthly inflation rate of 0.7 per cent.

The rise was mainly fueled by increases in the Food and Non-Alcoholic Beverages, Transport, and Housing, Water, Electricity, Gas and Other Fuels categories, which together account for more than 57 per cent of household spending.

Food inflation remained a major contributor, with annual inflation in the Food and Non-Alcoholic Beverages division reaching 10.2 per cent over the 12 months to October.

While some food items became cheaper during the month, others recorded notable increases. Prices of sugar fell by 1.2 per cent, while loose maize flour and oranges each dropped by 1.1 per cent. However, the cost of Irish potatoes rose by 2.5 per cent, beef with bones increased by 0.8 per cent, and fresh packeted milk posted the largest jump at 4.7 per cent.

What pushed up the cost of transport in October 2026

Transport costs also continued to exert pressure on household budgets. Between September and October, diesel prices increased by 4.4 per cent while petrol prices rose by 6.0 per cent. Taxi fares edged up by 1.5 per cent.

The only notable relief came from air travel, with local flight charges declining by 2.6 per cent during the period. In the housing and utilities sector, electricity costs for households consuming 200 kilowatt-hours declined marginally by 0.1 per cent.

However, other household expenses moved upward. Single-room rents increased by 0.1 per cent, cooking gas prices rose by 0.3 per cent, and kerosene recorded the sharpest increase in the category, surging by 14.7 per cent.

Alcohol, Tobacco and Personal Care Costs Edge Higher

Prices under the Alcoholic Beverages, Tobacco and Narcotics category also rose moderately during the month. Wine and spirits each increased by 0.1 per cent, cigarettes rose by 0.3 per cent, while miraa (khat) recorded the largest increase at 1.7 per cent.

Similarly, personal care products became more expensive. Toilet soap prices rose by 0.5 per cent, body lotion increased by 0.7 per cent, and toilet paper recorded the biggest rise in the category at 1.3 per cent.

Over the past year, inflation in the Personal Care, Social Protection and Miscellaneous Goods and Services division stood at 2.8 per cent.

Cost of health and education in October 2026

Health costs remained relatively stable despite slight price increases in some services and medicines. Drugs used to manage cholesterol and blood pressure rose by 0.4 per cent, while general practitioner consultation fees increased by 0.2 per cent.

Overall, annual inflation in the Health division stood at 2.8 per cent. The education sector also recorded minimal movement. Prices of secondary school textbooks increased by 0.2 per cent, while pre-primary and primary school textbooks rose by 1.1 per cent. Education services themselves remained unchanged during the month. On a year-on-year basis, inflation in the Education division was 3.1 per cent.

Restaurant and Accommodation Costs Continue Rising

Consumers also paid more for food and beverages in restaurants and hotels. Food purchased from vendors increased by 0.3 per cent, restaurant-prepared meals rose by 0.4 per cent, while beverages served in hotels and restaurants recorded the largest increase at 0.7 per cent.

The Restaurants and Accommodation Services division registered an annual inflation rate of 3.0 per cent.

Meanwhile, prices in the Information and Communication sector remained unchanged during the month, as did insurance and financial services.

Despite the monthly stability, annual inflation in the Insurance and Financial Services division stood at 1.1 per cent.

Overall, October’s inflation figures show that rising food and fuel costs continue to be the biggest drivers of the cost of living, offsetting relative stability in sectors such as education, information and communication, and financial services.