Latest data from KNBS shows that Kenya’s March inflation shot up 10.28 percent from 9.04 percent rise in the previous month, way above Government’s target range of between 2.5 per cent and 7.5 per cent.
This was the highest inflation rate since May of 2012 mainly driven by the increased prices of food items caused by drought. According to data from KNBS, the latest value of 10.28 percent is ranked as the 28th world’s highest inflation rate.
“Between February and March 2017, Food and Non-Alcoholic Drinks’ Index increased by 3.18 per cent. This was mainly attributed to increases in prices of several food items including, spinach, maize flour, milk, potatoes and maize grain. This increase in food prices was partly contributed by prevailing drought conditions.” KNBS said in a statement.
The year on year food inflation stood at 18.56 per cent in March 2017, highest level since March 2012. Over the same review period, Housing, Water, Electricity, Gas and Other Fuels’ Index, increased by 0.69 per cent. This was partly due to increases in cost of house rents, cooking fuels and water services.
The Transport Index increased by 0.27 per cent in March compared to February 2017, mainly on account of increases in the pump prices of petrol and diesel.