Kenya’s annual inflation rose to 6.7% in May from 5.6% in April, marking the second consecutive monthly increase and the highest rate since January 2024.
The Kenya National Bureau of Statistics said the rise was driven mainly by higher prices for transport, food and non-alcoholic beverages, and housing, water, electricity, gas and other fuels. Transport costs increased 16.5%, food and non-alcoholic beverages 9.4%, and housing and utilities 3.4%. The three categories account for 57% of the inflation basket.
Officials linked the increase to fuel price hikes in April and May, which followed a surge in global energy prices after the U.S.-Israeli conflict with Iran. The higher fuel costs have prompted strikes by transport operators.
Inflation is now close to the upper limit of the government’s target range of 2.5% to 7.5%. The Central Bank of Kenya is scheduled to announce its next interest rate decision on June 9, after holding the rate steady at its April meeting.
