May Inflation Inches Up, Stays Below CBK’s 7.5% Target

The rate of inflation has soared again in January to reach 5.69 per cent from 5.62 per cent in December

A fruit seller in one of Kenya's informal markets

The inflation rate measured by the Kenya National Bureau of Statistics rose to 5.87 per cent in May, compared to the 5.76 per cent recorded in April.

According to the statistics body, the spike in the cost of living is greatly attributable to fuel costs.

However, fuel prices have remained stable in the last two months as the prices for diesel and kerosene remained unchanged for the period mid-March to mid-June 2021, according to the monthly price releases by the Energy and Petroleum Regulatory Authority (EPRA).

During the review period, the transport index marked a 0.69 per cent increase after a 2.87 per cent rise in petrol pump prices on May 14.

The food index increased by 0.32 per cent as some food items marked increase in price.

The MPC held the policy rate at 7.00% on well-anchored inflation expectations.

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