NAIROBI, Kenya -Kenya’s annual inflation rate eased to 3.8 percent in May 2025, down from 4.1 percent recorded in April, according to new data released by the Kenya National Bureau of Statistics (KNBS).
This slight decline comes despite continued increases in the prices of basic food commodities, which are putting pressure on household budgets.
The Consumer Price Index (CPI), which tracks the cost of a fixed basket of goods and services, rose from 144.09 in April to 144.88 in May, reflecting a monthly inflation rate of 0.5 percent.
According to the report, the overall inflation was primarily driven by rise in prices of items in the Food and Non-Alcoholic Beverages (6.3%); Transport (2.3%) and Housing, Water, Electricity, Gas and other fuels (0.8%) over the one year period.” These categories collectively make up over 57 percent of consumer spending across the 13 major expenditure divisions.
The price of food items rose sharply between April and May, pushing up the Food and Non-Alcoholic Beverages Index by 1.2 percent.
Notably, prices of sugar increased by 4.3 percent, sifted maize flour by 3.9 percent, and sukuma wiki (kale) by 3.5 percent. On the other hand, the prices of some staple items such as Irish potatoes, oranges, and fresh packeted cow milk dropped by 3.7, 1.8, and 0.6 percent, respectively.
The transport sector experienced a 0.2 percent increase over the same period, driven mainly by higher international flight prices.
However, the prices of petrol and diesel remained unchanged.
Housing, water, electricity, gas, and other fuels recorded negligible change, with electricity costs decreasing slightly.
“During this period, price of a 50 kWh unit of electricity and a 200 kWh unit of electricity declined by 1.0 per cent and 0.9 per cent,” the report stated.
Additionally, the price of cooking gas (LPG) fell by 0.5 percent.
While the slowdown in inflation offers some relief, the rising cost of food and transport remains a concern for many Kenyans, especially lower-income households that spend a significant portion of their income on basic needs.
