Browsing: inflation in Kenya

• East Africa is set to outshine other regions in 2024 growth with Rwanda, Kenya, Tanzania and Uganda posting impressive numbers.
• This year, Africa’s overall growth is forecasted at 4 per cent, a notable increase from 3.3 per cent in 2023.
• These are findings of a new Africa 2024 outlook report by Stears, an economic analysis and data-driven insights provider.

The prevailing economic woes in Kenya are projected to continue in 2024 with persistent currency depreciation and inflationary pressures taking toll on individuals and businesses. This is according to a new Africa 2024 Outlook report by Stears, a Nigeria-based economic analysis and data-driven insights company.

Already, the latest statistics show that the Kenyan Shilling has already breached the 160 mark against the US dollar.

Stears’ 2024 Outlook delves into key African countries, specifically Kenya and the continent’s powerhouse Nigeria, projecting persisting economic challenges for both economies.

he macroeconomic analysis …

• The Monetary Policy Committee (MPC) on Wednesday noted the sustained inflationary pressures, the elevated global risks and their potential impact on the domestic economy.
• CBK sees a scope for a further tightening of the monetary policy in order to anchor inflation expectations.
• Overall inflation in Kenya increased to 9.2 percent in February 2023 from 9.0 percent in January, mainly driven by higher food prices.

The Central Bank of Kenya (CBK) has revised upwards the benchmark rate by 75.0 basis points to 9.50 per cent, in its latest move to try and tame the rising inflation in the country.

This is up from 8.75, signaling a higher cost of borrowing in the market.

Its decision making organ–the Monetary Policy Committee (MPC) on Wednesday noted the sustained inflationary pressures, the elevated global risks and their potential impact on the domestic economy, and concluded that there was scope for a further tightening of …

Kenya’s inflation has marginally dropped for the third straight month providing relief to households that have been battling runaway inflation since April last year.

The overall year-on-year inflation rate as measured by the Consumer Price Index (CPI) was 9.0 per cent in January 2023, down from 9.1 per cent in December and 9.5 per cent in November last year.

It hit a five-year high of 9.6 per cent in October 2022, data by the Kenya National Bureau of Statistics (KNBS) shows. The lower inflation (measure of the cost of living) in January however remains above the preferred ceiling of 7.5 per cent.

According to the government statistician, the high inflation was due to increase in prices of commodities under transport (13.1%), food and non-alcoholic beverages (12.8%) and housing, water, electricity, gas and other fuels (7.3%) between January 2022 and January 2023.

These three divisions account for over 57 per …

The Central Bank of Kenya (CBK) has retained the base lending rate in the country at 8.75 per cent, citing easing inflationary pressure and positive macroeconomics outlook.

CBK’s decision making orga­­­­­n –­­­­­­­­ Monetary Policy Committee (MPC) met on Monday  against a backdrop of a weak global growth outlook, decline in global commodity prices, easing inflationary pressures, geopolitical tensions, persistent uncertainties, and measures taken by authorities around the world in response to these developments.

This includes the back-to-back fed rate hikes witnessed in the US as the country navigated high inflation which hit a peak last year.

Kenya’s overall inflation decreased to 9.1 per cent in December 2022 from 9.5 per cent in November, mainly due to lower food prices.

Food inflation declined to 13.8 per cent in December from 15.4 per cent in November, largely driven by a decrease in prices of maize and milk products.

This is pegged on …

• The Kenya Shilling depreciated by 0.9% against the US Dollar to close the month of November at KSh 122.4, from KSh 121.3 recorded at the end of October 2022
• A Cytonn Investments report has partly attributed the depreciation to increased dollar demand from importers, especially oil and energy sectors, against a slower supply of hard currency
• The report said it expects the Kenya shilling to remain under pressure for the rest of the year owing to several factors, such as rising oil prices

The Kenya Shilling depreciated by 0.9% against the US Dollar to close the month of November at KSh 122.4, from KSh 121.3 recorded at the end of October 2022.

A report by Cytonn Investments has partly attributed the depreciation to increased dollar demand from importers, especially oil and energy sectors, against a slower supply of hard currency.

For instance, in the last week of the month, the …

• Kenya’s average inflation rate increased to 6.3 per cent in the first half of 2022, compared to 5.9 per cent in a similar period in 2021
• A report by Cytonn Investments has attributed the rise to a 13.8 per cent and 7.1 per cent year-on-year increase in food and oil prices
• Inflation for June 2022 came in at 7.9 per cent, the highest since August 2017 and an increase from the 7.1  per cent recorded in May

Kenya’s average inflation rate increased to 6.3 per cent in the first half of 2022, compared to 5.9 per cent in a similar period in 2021.

A report by Cytonn Investments has attributed the rise to a 13.8 per cent and 7.1 per cent year-on-year increase in food and oil prices, respectively.

During the period under review, the price of super petrol, diesel and kerosene increased by 22.7 per cent, 26.6 per cent …