ECONOMY

September hardest month for Kenyans as fuel tax bites

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The country’s inflation rate is at its highest since October last year.

September’s inflation rate stood at 5.71% a significant increase from August’s rate which was 4.04% a culmination of increase in fuel prices.

This is the first time that inflation has surpassed the 5% mark in 2018, although it still remains within the Central Bank of Kenya’s  recommended range of between 2.5% and 7.5%.

Kenya Bureau of Statistics (KNBS) attributes the inflation hike to the increase in fuel prices.

Data released by KNBS shows that the prices of basic commodities in the country rose in September.

The data shows that the price of housing, water, electricity and gas rose by 0.4% in September when compared to August.

KNBS statistics also show that transport index increased by 7.99% compared to August and 17.29% compared to September last year.

“Public Service Vehicles were charging Kenyans Sh449.77 per 250-kilometre journey. This is an increase of Ksh33.02 as well as an 18.5% increase from September last year,” read the report.

Statistics also show that the price of foodstuffs shot up in the month

A kilo of sugar increased by Ksh5 to Ksh153.90 in September up from Ksh147.33 in August.

Fresh produce was affected by the increase in fuel prices as the price of a kilo of kales adjusted up to Ksh57.03, Irish potatoes prices increased to Ksh77.60 from 73.62 per kilo while the price of meat ticked up to Ksh442.95 from Ksh443.21 per kilo.

Cabbages retailed at Ksh43.53 per kilo up fromKsh42.58 while tomatoes were being sold at Ksh72.77 from Ksh70.55 per kilo.

The price of a kilo of beans also shot up to Ksh107.20 up from 106.94.

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