The Lower Eastern Times Opening The Third Eye
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Kenya’s annual inflation rate climbed to 6.7 percent in May 2026, up from 5.6 percent in April, reflecting higher prices for food, transport, fuel and other essential household expenses.
New figures released by the Kenya National Bureau of Statistics (KNBS) show a notable rise in the cost of living, driven mainly by increases in food and non-alcoholic beverages, transport, and housing-related expenses.
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According to KNBS, these three categories account for more than 57 percent of household spending and were the biggest contributors to the increase in inflation over the past year.
“Price increases were mainly attributed to higher costs in Food and Non-Alcoholic Beverages (9.4%), Transport (16.5%), and Housing, Water, Electricity, Gas and Other Fuels (3.4%),” the agency stated in its latest Consumer Price Index (CPI) report.
The report also indicated that the overall Consumer Price Index rose from 152.15 in April to 154.56 in May, resulting in a monthly inflation rate of 1.6 percent.
KNBS noted that the year-on-year inflation rate for May stood at 6.7 percent, highlighting continued upward pressure on consumer prices.
The latest inflation figure places Kenya above the Central Bank of Kenya’s preferred midpoint target of 5 percent, raising concerns about the impact on household purchasing power and business operating costs.
Food prices remained the largest driver of inflation as the cost of basic commodities continued to rise amid supply chain challenges. At the same time, transport expenses increased significantly due to elevated fuel prices, which have had a wider effect on the cost of goods and services across the economy.
Inflation is measured using the Consumer Price Index, which tracks changes in the prices consumers pay for a standard basket of goods and services compared to a base period of February 2019.
To compile the data, KNBS conducts monthly retail price surveys in 50 urban centres across the country during the second and third weeks of each month, providing a snapshot of prevailing consumer price trends.
