Inflation in Kenya hits 7.3% in October on high fuel cost

Kenya’ Monthly Inflation Rate rose to 7.3% in October from 6.8% in September, the main drivers for the general rise in price levels being food, transport as well as Housing, Water Electricity, Gas and Other Fuels.

Data from the Kenya National Bureau of Statistics indicate that between September and October 2026, commodity prices moved in different directions.

Sugar prices fell by 1.2%, while maize flour (loose) and oranges each declined by 1.1%. In contrast, Irish potatoes became 2.5% more expensive, and beef (with bones) edged up by 0.8%. Fresh packeted cow milk recorded the sharpest increase rising by 4.7%.

Between September and October 2026, Kenya’s transport costs generally moved upward, with the exception of local flights.

The cost of local flights fell by 2.6%, while taxi fares edged up by 1.5%. Fuel prices rose more sharply, with diesel going up by 4.4% and petrol increase of 6.0%. Between September and October 2026, the cost of electricity (200 kWh) dipped slightly by 0.1% cent.

In contrast, the rent for a single room edged up by 0.1%, while Gas/LPG prices rose marginally by 0.3%.  Kerosene/paraffin recorded the sharpest increase, with prices surging by 14.7%.

Between September and October 2026, prices of alcohol, tobacco and miraa edged upward. Wines and spirits each rose marginally by 0.1%, while cigarettes increased slightly by 0.3 %.

Miraa (khat) recorded the sharpest increase, with prices climbing by 1.7%.

Between October 2026 and September 2026, clothing and footwear prices in Kenya remained the same while prices of household cleaning products edged upward.

Laundry soap (bar soap) rose marginally by 0.1%, while detergents increased slightly by 0.4 per cent. Between October 2026 and September 2026, prices for medicines for cholesterol and blood pressure rose slightly by 0.4 per cent, while general practitioner’s services increased marginally by 0.2%

Annual consumer price inflation was 7.3 per cent in October 2026, as measured by the Consumer Price Index (CPI). This implies that the general price level was 7.3 per cent higher in October 2026 than it was in October 2025. The price increase was primarily driven by a rise in prices of items in the Food and Non-Alcoholic Beverages (10.2%); Transport (17.1%), and Housing, Water, Electricity, Gas and other fuels (3.7%) over the one-year period. These three divisions together account for over 57 per cent of the total weight across the 13 major expenditure categories.

Consumer Price Index (CPI) is defined as a measure of the weighted aggregate change over time in retail prices paid by consumers for a given basket of goods and services. The CPI measures the cost of purchasing this fixed basket of goods and services, comparing current prices to those of a base period, which for the current CPI is February 2019.

Inflation rate is defined as a percentage change of the CPI between two periods. There are different inflation rates that can be computed, such as annual (year-on-year), quarterly (quarter-to-quarter) and monthly (month-on-month) inflation rates.

Data used to derive the inflation rates is collected through a monthly survey of retail prices from a statistically representative sample of outlets in urban areas across 50 data collection zones nationwide. The survey is conducted during the second and third weeks of the month.

Data from KNBS shows movement of national Average Retail Prices of Selected Commodities. Between September and October 2026, the prices of a litre of cooking oil (salad) edged up from KSh 359.36 to KSh 361.04, and the prices of cabbages (1 Kg) rose from KSh 79.16 to KSh 82.38.

The price of fresh packeted cow milk (500 Millilitres) also increased from KSh 61.23 to KSh 64.13.

In contrast, the average prices of sugar (1 Kg) and oranges (1 Kg) dropped, with sugar falling from KSh 165.79 to KSh 163.84 and oranges declining from KSh 127.22 to KSh 125.81.

The price of Gas/LPG (13 Kg) increased from KSh 3,419.24 to KSh 3,429.61, while kerosene/paraffin (1 Litre) prices surged from KSh 192.56 to KSh 220.88.

Similarly, the price of a litre of diesel went up from KSh 219.04 to KSh 228.77, and that of a litre of petrol rose significantly from KSh 214.95 to KSh 227.85.

On the other hand, the price of electricity dipped slightly. The price of 50 kWh decreased from KSh 1,258.21 to KSh 1,257.18 and that of 200 kWh easing from KSh 5,533.76 to KSh 5,529.66.