Inflation hits 94-month high at 18.3%
Hopes that the country’s inflation rate
would moderate as a result of the various intervention programmes of the
government were on Monday dashed as the National Bureau of Statistics
on Monday announced that the Consumer Price Index, which measures
inflation rate, rose to a 94-month high of 18.3 per cent in October.
The 18.3 per cent inflation rate, which
is about 0.48 per cent higher than the 17.9 per cent recorded in
September, is the highest since January 2009 when the NBS started
publishing the revised version of the CPI.
The bureau attributed the increase in
inflation rate to pressures recorded in some sub-indexes such as
housing, electricity, gas, water, lubricants for personal transport and
It explained that while the prices of
food items such as bread, cereals, fish and meat also recorded
significant increases, those of fruit items moderated during the period.
The report read in part, “The CPI, which
measures inflation, increased by 18.3 per cent (year-on-year) in
October 2016, 0.48 per cent points higher from the rate recorded in
“Increases were recorded across almost
all major divisions, which contribute to the headline index.
Communication and restaurants and hotels recorded the slowest pace of
growth in October, growing at 5.7 per cent and 9.4 per cent
“The food index rose by 17.1 per cent
(year-on-year) in October, up by 0.47 per cent points from 16.6 per cent
recorded in September. During the month, the highest increases were
seen in housing, water, electricity, gas and other fuels, as well as
fuels and lubricants for personal transport equipment and education.”
The report added that the least growth
pace recorded in October was experienced in communication (5.7 per
cent), restaurants and hotels (9.4 per cent), and recreation and culture
(10.3 per cent).
The NBS noted that the urban index rose
by 19.9 per cent (year-on-year) in October from 19.5 per cent recorded
in September, while the rural index increased by 16.95 per cent in
October from 16.4 per cent in the previous month.