Kenya inflation rises for third month, clouding rate cut outlook

Kenya’s inflation accelerated for a third consecutive month in September, adding pressure on households and complicating the outlook for monetary policy as the Central Bank of Kenya prepares for its next interest rate decision in October. Read also: Kenyan investors may access Dangote Refinery IPO through GDRs Annual consumer price inflation rose to 6.8 percent in September from 6.6 percent in August, according to the Kenya National Bureau of Statistics (KNBS). The increase was driven largely by higher food, transport and household energy costs, with inflation now at its highest level since January 2024. The September reading was slightly below the 6.9 percent median forecast of three economists surveyed by Bloomberg, but above the 6.5 percent projection of the Central Bank of Kenya’s Monetary Policy Committee. Read also: Dangote hires Indian firm for $16bn Kenya refinery project It also marked the sixth consecutive month that inflation remained above the 5 percent midpoint of the central bank’s target range, increasing the pressure on policymakers to balance the need to support economic activity with efforts to contain price pressures. Food and transport keep prices elevated Food and non alcoholic beverages remained one of the biggest sources of pressure on household budgets. Inflation in the category accelerated to 9.5 percent, from 9 percent in the previous month. Read also: Kenya inflation hits three-month high as Middle East tensions drive fuel costs Food carries the largest weight in Kenya’s consumer price index, accounting for about 33 percent of the basket used by KNBS to measure changes in the cost of living. Housing, water, electricity, gas and other fuels account for another 15 percent, while transport has a 10 percent weight. Transport costs also remained high, with annual inflation at 15.6 percent, only marginally lower than 15.7 percent previously, despite reductions in the prices of some transport services. Read also: The pressure was partly offset by a moderation in housing and utilities inflation, which eased to 3.2 percent from 3.6 percent, helped by lower electricity prices. On a monthly basis, consumer prices rose 0.9 percent, the fastest increase since May, compared with a 0.4 percent increase in August. The latest figures point to a renewed cost of living squeeze even as some components of the inflation basket have begun to ease. Rate decision comes into focus The inflation increase comes as the Central Bank of Kenya (CBK) approaches its next Monetary Policy Committee meeting on October 7, 2026. The meeting will be closely watched for indications of how policymakers intend to respond to the renewed rise in consumer prices. The CBK has kept its Central Bank Rate at 8.75 percent since its August 11 meeting, when the MPC opted to maintain the rate after previously cutting it from higher levels. The 8.75 percent rate remains the benchmark for the central bank’s monetary policy operations. Read also: The September inflation figure changes the backdrop for that decision. With inflation moving further above the 5 percent midpoint of the target range, policymakers will have to assess whether the latest increase reflects temporary price pressures or a more persistent trend. That distinction matters because the CBK has also been seeking to support economic activity and improve access to credit. A reduction in the policy rate would generally make borrowing cheaper, while keeping rates higher for longer can help limit demand-driven price pressures. The October meeting will therefore provide a fresh test of the balance the central bank is trying to maintain between price stability and economic growth. For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

Read also: Kenyan investors may access Dangote Refinery IPO through GDRs Annual consumer price inflation rose to 6.8 percent in September from 6.6 percent in August, according to the Kenya National Bureau of Statistics (KNBS). The increase was driven largely by higher food, transport and household energy costs, with inflation now at its highest level since January 2024. The September reading was slightly below the 6.9 percent median forecast of three economists surveyed by Bloomberg, but above the 6.5 percent projection of the Central Bank of Kenya’s Monetary Policy Committee. Read also: Dangote hires Indian firm for $16bn Kenya refinery project It also marked the sixth consecutive month that inflation remained above the 5 percent midpoint of the central bank’s target range, increasing the pressure on policymakers to balance the need to support economic activity with efforts to contain price pressures. Food and transport keep prices elevated Food and non alcoholic beverages remained one of the biggest sources of pressure on household budgets. Inflation in the category accelerated to 9.5 percent, from 9 percent in the previous month. Read also: Kenya inflation hits three-month high as Middle East tensions drive fuel costs Food carries the largest weight in Kenya’s consumer price index, accounting for about 33 percent of the basket used by KNBS to measure changes in the cost of living. Housing, water, electricity, gas and other fuels account for another 15 percent, while transport has a 10 percent weight. Transport costs also remained high, with annual inflation at 15.6 percent, only marginally lower than 15.7 percent previously, despite reductions in the prices of some transport services. Read also: The pressure was partly offset by a moderation in housing and utilities inflation, which eased to 3.2 percent from 3.6 percent, helped by lower electricity prices. On a monthly basis, consumer prices rose 0.9 percent, the fastest increase since May, compared with a 0.4 percent increase in August. The latest figures point to a renewed cost of living squeeze even as some components of the inflation basket have begun to ease. Rate decision comes into focus The inflation increase comes as the Central Bank of Kenya (CBK) approaches its next Monetary Policy Committee meeting on October 7, 2026. The meeting will be closely watched for indications of how policymakers intend to respond to the renewed rise in consumer prices. The CBK has kept its Central Bank Rate at 8.75 percent since its August 11 meeting, when the MPC opted to maintain the rate after previously cutting it from higher levels. The 8.75 percent rate remains the benchmark for the central bank’s monetary policy operations. Read also: The September inflation figure changes the backdrop for that decision. With inflation moving further above the 5 percent midpoint of the target range, policymakers will have to assess whether the latest increase reflects temporary price pressures or a more persistent trend. That distinction matters because the CBK has also been seeking to support economic activity and improve access to credit. A reduction in the policy rate would generally make borrowing cheaper, while keeping rates higher for longer can help limit demand-driven price pressures. The October meeting will therefore provide a fresh test of the balance the central bank is trying to maintain between price stability and economic growth. For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

Annual consumer price inflation rose to 6.8 percent in September from 6.6 percent in August, according to the Kenya National Bureau of Statistics (KNBS). The increase was driven largely by higher food, transport and household energy costs, with inflation now at its highest level since January 2024. The September reading was slightly below the 6.9 percent median forecast of three economists surveyed by Bloomberg, but above the 6.5 percent projection of the Central Bank of Kenya’s Monetary Policy Committee. Read also: Dangote hires Indian firm for $16bn Kenya refinery project It also marked the sixth consecutive month that inflation remained above the 5 percent midpoint of the central bank’s target range, increasing the pressure on policymakers to balance the need to support economic activity with efforts to contain price pressures. Food and transport keep prices elevated Food and non alcoholic beverages remained one of the biggest sources of pressure on household budgets. Inflation in the category accelerated to 9.5 percent, from 9 percent in the previous month. Read also: Kenya inflation hits three-month high as Middle East tensions drive fuel costs Food carries the largest weight in Kenya’s consumer price index, accounting for about 33 percent of the basket used by KNBS to measure changes in the cost of living. Housing, water, electricity, gas and other fuels account for another 15 percent, while transport has a 10 percent weight. Transport costs also remained high, with annual inflation at 15.6 percent, only marginally lower than 15.7 percent previously, despite reductions in the prices of some transport services. Read also: The pressure was partly offset by a moderation in housing and utilities inflation, which eased to 3.2 percent from 3.6 percent, helped by lower electricity prices. On a monthly basis, consumer prices rose 0.9 percent, the fastest increase since May, compared with a 0.4 percent increase in August. The latest figures point to a renewed cost of living squeeze even as some components of the inflation basket have begun to ease. Rate decision comes into focus The inflation increase comes as the Central Bank of Kenya (CBK) approaches its next Monetary Policy Committee meeting on October 7, 2026. The meeting will be closely watched for indications of how policymakers intend to respond to the renewed rise in consumer prices. The CBK has kept its Central Bank Rate at 8.75 percent since its August 11 meeting, when the MPC opted to maintain the rate after previously cutting it from higher levels. The 8.75 percent rate remains the benchmark for the central bank’s monetary policy operations. Read also: The September inflation figure changes the backdrop for that decision. With inflation moving further above the 5 percent midpoint of the target range, policymakers will have to assess whether the latest increase reflects temporary price pressures or a more persistent trend. That distinction matters because the CBK has also been seeking to support economic activity and improve access to credit. A reduction in the policy rate would generally make borrowing cheaper, while keeping rates higher for longer can help limit demand-driven price pressures. The October meeting will therefore provide a fresh test of the balance the central bank is trying to maintain between price stability and economic growth. For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

The September reading was slightly below the 6.9 percent median forecast of three economists surveyed by Bloomberg, but above the 6.5 percent projection of the Central Bank of Kenya’s Monetary Policy Committee. Read also: Dangote hires Indian firm for $16bn Kenya refinery project It also marked the sixth consecutive month that inflation remained above the 5 percent midpoint of the central bank’s target range, increasing the pressure on policymakers to balance the need to support economic activity with efforts to contain price pressures. Food and transport keep prices elevated Food and non alcoholic beverages remained one of the biggest sources of pressure on household budgets. Inflation in the category accelerated to 9.5 percent, from 9 percent in the previous month. Read also: Kenya inflation hits three-month high as Middle East tensions drive fuel costs Food carries the largest weight in Kenya’s consumer price index, accounting for about 33 percent of the basket used by KNBS to measure changes in the cost of living. Housing, water, electricity, gas and other fuels account for another 15 percent, while transport has a 10 percent weight. Transport costs also remained high, with annual inflation at 15.6 percent, only marginally lower than 15.7 percent previously, despite reductions in the prices of some transport services. Read also: The pressure was partly offset by a moderation in housing and utilities inflation, which eased to 3.2 percent from 3.6 percent, helped by lower electricity prices. On a monthly basis, consumer prices rose 0.9 percent, the fastest increase since May, compared with a 0.4 percent increase in August. The latest figures point to a renewed cost of living squeeze even as some components of the inflation basket have begun to ease. Rate decision comes into focus The inflation increase comes as the Central Bank of Kenya (CBK) approaches its next Monetary Policy Committee meeting on October 7, 2026. The meeting will be closely watched for indications of how policymakers intend to respond to the renewed rise in consumer prices. The CBK has kept its Central Bank Rate at 8.75 percent since its August 11 meeting, when the MPC opted to maintain the rate after previously cutting it from higher levels. The 8.75 percent rate remains the benchmark for the central bank’s monetary policy operations. Read also: The September inflation figure changes the backdrop for that decision. With inflation moving further above the 5 percent midpoint of the target range, policymakers will have to assess whether the latest increase reflects temporary price pressures or a more persistent trend. That distinction matters because the CBK has also been seeking to support economic activity and improve access to credit. A reduction in the policy rate would generally make borrowing cheaper, while keeping rates higher for longer can help limit demand-driven price pressures. The October meeting will therefore provide a fresh test of the balance the central bank is trying to maintain between price stability and economic growth. For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

Read also: Dangote hires Indian firm for $16bn Kenya refinery project It also marked the sixth consecutive month that inflation remained above the 5 percent midpoint of the central bank’s target range, increasing the pressure on policymakers to balance the need to support economic activity with efforts to contain price pressures. Food and transport keep prices elevated Food and non alcoholic beverages remained one of the biggest sources of pressure on household budgets. Inflation in the category accelerated to 9.5 percent, from 9 percent in the previous month. Read also: Kenya inflation hits three-month high as Middle East tensions drive fuel costs Food carries the largest weight in Kenya’s consumer price index, accounting for about 33 percent of the basket used by KNBS to measure changes in the cost of living. Housing, water, electricity, gas and other fuels account for another 15 percent, while transport has a 10 percent weight. Transport costs also remained high, with annual inflation at 15.6 percent, only marginally lower than 15.7 percent previously, despite reductions in the prices of some transport services. Read also: The pressure was partly offset by a moderation in housing and utilities inflation, which eased to 3.2 percent from 3.6 percent, helped by lower electricity prices. On a monthly basis, consumer prices rose 0.9 percent, the fastest increase since May, compared with a 0.4 percent increase in August. The latest figures point to a renewed cost of living squeeze even as some components of the inflation basket have begun to ease. Rate decision comes into focus The inflation increase comes as the Central Bank of Kenya (CBK) approaches its next Monetary Policy Committee meeting on October 7, 2026. The meeting will be closely watched for indications of how policymakers intend to respond to the renewed rise in consumer prices. The CBK has kept its Central Bank Rate at 8.75 percent since its August 11 meeting, when the MPC opted to maintain the rate after previously cutting it from higher levels. The 8.75 percent rate remains the benchmark for the central bank’s monetary policy operations. Read also: The September inflation figure changes the backdrop for that decision. With inflation moving further above the 5 percent midpoint of the target range, policymakers will have to assess whether the latest increase reflects temporary price pressures or a more persistent trend. That distinction matters because the CBK has also been seeking to support economic activity and improve access to credit. A reduction in the policy rate would generally make borrowing cheaper, while keeping rates higher for longer can help limit demand-driven price pressures. The October meeting will therefore provide a fresh test of the balance the central bank is trying to maintain between price stability and economic growth. For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

It also marked the sixth consecutive month that inflation remained above the 5 percent midpoint of the central bank’s target range, increasing the pressure on policymakers to balance the need to support economic activity with efforts to contain price pressures. Food and transport keep prices elevated Food and non alcoholic beverages remained one of the biggest sources of pressure on household budgets. Inflation in the category accelerated to 9.5 percent, from 9 percent in the previous month. Read also: Kenya inflation hits three-month high as Middle East tensions drive fuel costs Food carries the largest weight in Kenya’s consumer price index, accounting for about 33 percent of the basket used by KNBS to measure changes in the cost of living. Housing, water, electricity, gas and other fuels account for another 15 percent, while transport has a 10 percent weight. Transport costs also remained high, with annual inflation at 15.6 percent, only marginally lower than 15.7 percent previously, despite reductions in the prices of some transport services. Read also: The pressure was partly offset by a moderation in housing and utilities inflation, which eased to 3.2 percent from 3.6 percent, helped by lower electricity prices. On a monthly basis, consumer prices rose 0.9 percent, the fastest increase since May, compared with a 0.4 percent increase in August. The latest figures point to a renewed cost of living squeeze even as some components of the inflation basket have begun to ease. Rate decision comes into focus The inflation increase comes as the Central Bank of Kenya (CBK) approaches its next Monetary Policy Committee meeting on October 7, 2026. The meeting will be closely watched for indications of how policymakers intend to respond to the renewed rise in consumer prices. The CBK has kept its Central Bank Rate at 8.75 percent since its August 11 meeting, when the MPC opted to maintain the rate after previously cutting it from higher levels. The 8.75 percent rate remains the benchmark for the central bank’s monetary policy operations. Read also: The September inflation figure changes the backdrop for that decision. With inflation moving further above the 5 percent midpoint of the target range, policymakers will have to assess whether the latest increase reflects temporary price pressures or a more persistent trend. That distinction matters because the CBK has also been seeking to support economic activity and improve access to credit. A reduction in the policy rate would generally make borrowing cheaper, while keeping rates higher for longer can help limit demand-driven price pressures. The October meeting will therefore provide a fresh test of the balance the central bank is trying to maintain between price stability and economic growth. For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

Food and transport keep prices elevated Food and non alcoholic beverages remained one of the biggest sources of pressure on household budgets. Inflation in the category accelerated to 9.5 percent, from 9 percent in the previous month. Read also: Kenya inflation hits three-month high as Middle East tensions drive fuel costs Food carries the largest weight in Kenya’s consumer price index, accounting for about 33 percent of the basket used by KNBS to measure changes in the cost of living. Housing, water, electricity, gas and other fuels account for another 15 percent, while transport has a 10 percent weight. Transport costs also remained high, with annual inflation at 15.6 percent, only marginally lower than 15.7 percent previously, despite reductions in the prices of some transport services. Read also: The pressure was partly offset by a moderation in housing and utilities inflation, which eased to 3.2 percent from 3.6 percent, helped by lower electricity prices. On a monthly basis, consumer prices rose 0.9 percent, the fastest increase since May, compared with a 0.4 percent increase in August. The latest figures point to a renewed cost of living squeeze even as some components of the inflation basket have begun to ease. Rate decision comes into focus The inflation increase comes as the Central Bank of Kenya (CBK) approaches its next Monetary Policy Committee meeting on October 7, 2026. The meeting will be closely watched for indications of how policymakers intend to respond to the renewed rise in consumer prices. The CBK has kept its Central Bank Rate at 8.75 percent since its August 11 meeting, when the MPC opted to maintain the rate after previously cutting it from higher levels. The 8.75 percent rate remains the benchmark for the central bank’s monetary policy operations. Read also: The September inflation figure changes the backdrop for that decision. With inflation moving further above the 5 percent midpoint of the target range, policymakers will have to assess whether the latest increase reflects temporary price pressures or a more persistent trend. That distinction matters because the CBK has also been seeking to support economic activity and improve access to credit. A reduction in the policy rate would generally make borrowing cheaper, while keeping rates higher for longer can help limit demand-driven price pressures. The October meeting will therefore provide a fresh test of the balance the central bank is trying to maintain between price stability and economic growth. For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

Read also: Kenya inflation hits three-month high as Middle East tensions drive fuel costs Food carries the largest weight in Kenya’s consumer price index, accounting for about 33 percent of the basket used by KNBS to measure changes in the cost of living. Housing, water, electricity, gas and other fuels account for another 15 percent, while transport has a 10 percent weight. Transport costs also remained high, with annual inflation at 15.6 percent, only marginally lower than 15.7 percent previously, despite reductions in the prices of some transport services. Read also: The pressure was partly offset by a moderation in housing and utilities inflation, which eased to 3.2 percent from 3.6 percent, helped by lower electricity prices. On a monthly basis, consumer prices rose 0.9 percent, the fastest increase since May, compared with a 0.4 percent increase in August. The latest figures point to a renewed cost of living squeeze even as some components of the inflation basket have begun to ease. Rate decision comes into focus The inflation increase comes as the Central Bank of Kenya (CBK) approaches its next Monetary Policy Committee meeting on October 7, 2026. The meeting will be closely watched for indications of how policymakers intend to respond to the renewed rise in consumer prices. The CBK has kept its Central Bank Rate at 8.75 percent since its August 11 meeting, when the MPC opted to maintain the rate after previously cutting it from higher levels. The 8.75 percent rate remains the benchmark for the central bank’s monetary policy operations. Read also: The September inflation figure changes the backdrop for that decision. With inflation moving further above the 5 percent midpoint of the target range, policymakers will have to assess whether the latest increase reflects temporary price pressures or a more persistent trend. That distinction matters because the CBK has also been seeking to support economic activity and improve access to credit. A reduction in the policy rate would generally make borrowing cheaper, while keeping rates higher for longer can help limit demand-driven price pressures. The October meeting will therefore provide a fresh test of the balance the central bank is trying to maintain between price stability and economic growth. For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

Food carries the largest weight in Kenya’s consumer price index, accounting for about 33 percent of the basket used by KNBS to measure changes in the cost of living. Housing, water, electricity, gas and other fuels account for another 15 percent, while transport has a 10 percent weight. Transport costs also remained high, with annual inflation at 15.6 percent, only marginally lower than 15.7 percent previously, despite reductions in the prices of some transport services. Read also: The pressure was partly offset by a moderation in housing and utilities inflation, which eased to 3.2 percent from 3.6 percent, helped by lower electricity prices. On a monthly basis, consumer prices rose 0.9 percent, the fastest increase since May, compared with a 0.4 percent increase in August. The latest figures point to a renewed cost of living squeeze even as some components of the inflation basket have begun to ease. Rate decision comes into focus The inflation increase comes as the Central Bank of Kenya (CBK) approaches its next Monetary Policy Committee meeting on October 7, 2026. The meeting will be closely watched for indications of how policymakers intend to respond to the renewed rise in consumer prices. The CBK has kept its Central Bank Rate at 8.75 percent since its August 11 meeting, when the MPC opted to maintain the rate after previously cutting it from higher levels. The 8.75 percent rate remains the benchmark for the central bank’s monetary policy operations. Read also: The September inflation figure changes the backdrop for that decision. With inflation moving further above the 5 percent midpoint of the target range, policymakers will have to assess whether the latest increase reflects temporary price pressures or a more persistent trend. That distinction matters because the CBK has also been seeking to support economic activity and improve access to credit. A reduction in the policy rate would generally make borrowing cheaper, while keeping rates higher for longer can help limit demand-driven price pressures. The October meeting will therefore provide a fresh test of the balance the central bank is trying to maintain between price stability and economic growth. For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

Transport costs also remained high, with annual inflation at 15.6 percent, only marginally lower than 15.7 percent previously, despite reductions in the prices of some transport services. Read also: The pressure was partly offset by a moderation in housing and utilities inflation, which eased to 3.2 percent from 3.6 percent, helped by lower electricity prices. On a monthly basis, consumer prices rose 0.9 percent, the fastest increase since May, compared with a 0.4 percent increase in August. The latest figures point to a renewed cost of living squeeze even as some components of the inflation basket have begun to ease. Rate decision comes into focus The inflation increase comes as the Central Bank of Kenya (CBK) approaches its next Monetary Policy Committee meeting on October 7, 2026. The meeting will be closely watched for indications of how policymakers intend to respond to the renewed rise in consumer prices. The CBK has kept its Central Bank Rate at 8.75 percent since its August 11 meeting, when the MPC opted to maintain the rate after previously cutting it from higher levels. The 8.75 percent rate remains the benchmark for the central bank’s monetary policy operations. Read also: The September inflation figure changes the backdrop for that decision. With inflation moving further above the 5 percent midpoint of the target range, policymakers will have to assess whether the latest increase reflects temporary price pressures or a more persistent trend. That distinction matters because the CBK has also been seeking to support economic activity and improve access to credit. A reduction in the policy rate would generally make borrowing cheaper, while keeping rates higher for longer can help limit demand-driven price pressures. The October meeting will therefore provide a fresh test of the balance the central bank is trying to maintain between price stability and economic growth. For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

Read also: The pressure was partly offset by a moderation in housing and utilities inflation, which eased to 3.2 percent from 3.6 percent, helped by lower electricity prices. On a monthly basis, consumer prices rose 0.9 percent, the fastest increase since May, compared with a 0.4 percent increase in August. The latest figures point to a renewed cost of living squeeze even as some components of the inflation basket have begun to ease. Rate decision comes into focus The inflation increase comes as the Central Bank of Kenya (CBK) approaches its next Monetary Policy Committee meeting on October 7, 2026. The meeting will be closely watched for indications of how policymakers intend to respond to the renewed rise in consumer prices. The CBK has kept its Central Bank Rate at 8.75 percent since its August 11 meeting, when the MPC opted to maintain the rate after previously cutting it from higher levels. The 8.75 percent rate remains the benchmark for the central bank’s monetary policy operations. Read also: The September inflation figure changes the backdrop for that decision. With inflation moving further above the 5 percent midpoint of the target range, policymakers will have to assess whether the latest increase reflects temporary price pressures or a more persistent trend. That distinction matters because the CBK has also been seeking to support economic activity and improve access to credit. A reduction in the policy rate would generally make borrowing cheaper, while keeping rates higher for longer can help limit demand-driven price pressures. The October meeting will therefore provide a fresh test of the balance the central bank is trying to maintain between price stability and economic growth. For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

The pressure was partly offset by a moderation in housing and utilities inflation, which eased to 3.2 percent from 3.6 percent, helped by lower electricity prices. On a monthly basis, consumer prices rose 0.9 percent, the fastest increase since May, compared with a 0.4 percent increase in August. The latest figures point to a renewed cost of living squeeze even as some components of the inflation basket have begun to ease. Rate decision comes into focus The inflation increase comes as the Central Bank of Kenya (CBK) approaches its next Monetary Policy Committee meeting on October 7, 2026. The meeting will be closely watched for indications of how policymakers intend to respond to the renewed rise in consumer prices. The CBK has kept its Central Bank Rate at 8.75 percent since its August 11 meeting, when the MPC opted to maintain the rate after previously cutting it from higher levels. The 8.75 percent rate remains the benchmark for the central bank’s monetary policy operations. Read also: The September inflation figure changes the backdrop for that decision. With inflation moving further above the 5 percent midpoint of the target range, policymakers will have to assess whether the latest increase reflects temporary price pressures or a more persistent trend. That distinction matters because the CBK has also been seeking to support economic activity and improve access to credit. A reduction in the policy rate would generally make borrowing cheaper, while keeping rates higher for longer can help limit demand-driven price pressures. The October meeting will therefore provide a fresh test of the balance the central bank is trying to maintain between price stability and economic growth. For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

The latest figures point to a renewed cost of living squeeze even as some components of the inflation basket have begun to ease. Rate decision comes into focus The inflation increase comes as the Central Bank of Kenya (CBK) approaches its next Monetary Policy Committee meeting on October 7, 2026. The meeting will be closely watched for indications of how policymakers intend to respond to the renewed rise in consumer prices. The CBK has kept its Central Bank Rate at 8.75 percent since its August 11 meeting, when the MPC opted to maintain the rate after previously cutting it from higher levels. The 8.75 percent rate remains the benchmark for the central bank’s monetary policy operations. Read also: The September inflation figure changes the backdrop for that decision. With inflation moving further above the 5 percent midpoint of the target range, policymakers will have to assess whether the latest increase reflects temporary price pressures or a more persistent trend. That distinction matters because the CBK has also been seeking to support economic activity and improve access to credit. A reduction in the policy rate would generally make borrowing cheaper, while keeping rates higher for longer can help limit demand-driven price pressures. The October meeting will therefore provide a fresh test of the balance the central bank is trying to maintain between price stability and economic growth. For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

The CBK has kept its Central Bank Rate at 8.75 percent since its August 11 meeting, when the MPC opted to maintain the rate after previously cutting it from higher levels. The 8.75 percent rate remains the benchmark for the central bank’s monetary policy operations. Read also: The September inflation figure changes the backdrop for that decision. With inflation moving further above the 5 percent midpoint of the target range, policymakers will have to assess whether the latest increase reflects temporary price pressures or a more persistent trend. That distinction matters because the CBK has also been seeking to support economic activity and improve access to credit. A reduction in the policy rate would generally make borrowing cheaper, while keeping rates higher for longer can help limit demand-driven price pressures. The October meeting will therefore provide a fresh test of the balance the central bank is trying to maintain between price stability and economic growth. For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

Read also: The September inflation figure changes the backdrop for that decision. With inflation moving further above the 5 percent midpoint of the target range, policymakers will have to assess whether the latest increase reflects temporary price pressures or a more persistent trend. That distinction matters because the CBK has also been seeking to support economic activity and improve access to credit. A reduction in the policy rate would generally make borrowing cheaper, while keeping rates higher for longer can help limit demand-driven price pressures. The October meeting will therefore provide a fresh test of the balance the central bank is trying to maintain between price stability and economic growth. For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

The September inflation figure changes the backdrop for that decision. With inflation moving further above the 5 percent midpoint of the target range, policymakers will have to assess whether the latest increase reflects temporary price pressures or a more persistent trend. That distinction matters because the CBK has also been seeking to support economic activity and improve access to credit. A reduction in the policy rate would generally make borrowing cheaper, while keeping rates higher for longer can help limit demand-driven price pressures. The October meeting will therefore provide a fresh test of the balance the central bank is trying to maintain between price stability and economic growth. For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

That distinction matters because the CBK has also been seeking to support economic activity and improve access to credit. A reduction in the policy rate would generally make borrowing cheaper, while keeping rates higher for longer can help limit demand-driven price pressures. The October meeting will therefore provide a fresh test of the balance the central bank is trying to maintain between price stability and economic growth. For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

The October meeting will therefore provide a fresh test of the balance the central bank is trying to maintain between price stability and economic growth. For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

For households, however, the immediate issue remains the cost of essential goods and services. With food inflation already well above the headline rate and transport costs still rising at a double-digit pace, the September figures suggest that the pressure on household purchasing power has not yet eased. Related News Meet Fatima Ezzahra El Mansouri, the lawyer who rose from Marrakesh politics to Morocco’s top government post NDC raises alarm over alleged destruction of campaign billboards in Edo How Nigerian game startups are turning Lagos chaos into digital hits Faith Omoboye Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance. Share

Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance.