Kenya Inflation Hits Three-Year High of 7.3 Percent

Kenya's annual inflation rate climbed to 7.3 percent in October, the highest level recorded in more than three years. Data from the Kenya National Bureau of Statistics shows the rate increased from 6.8 percent in September, matching a peak previously seen in July 2023.

The surge was primarily driven by price increases in three major expenditure categories: transport, which rose 17.1 percent; food and non-alcoholic beverages, which increased 10.2 percent; and housing, water, electricity, gas, and other fuels, which rose 3.7 percent. These categories collectively represent 57 percent of the total weight across the country's 13 major expenditure categories.

The current rate remains just below the upper limit of the medium-term inflation target range of 2.5 percent to 7.5 percent maintained by the Government of Kenya.