Inflation rises to 18.3% in October

Annual inflation numbers released by the National Bureau of Statistics (NBS) Monday show that inflation accelerated to 18.3 percent in October as against 17.9 percent a month earlier.

The NBS indicated through a report it released on its website that October’s inflation rate is  0.48 percent points higher than that of recorded in September.

According to the NBS, “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 percent and 9.4 percent year-on-year respectively.”
Also, the Food Index rose by 17.1 percent (year-on-year) in October, up by 0.47 percent points from 16.6 percent recorded in September. During the month, all major food groups which contribute to the Food sub-index increased with Fruits recording the slowest pace of increase at 11.5 percent.
Price movements recorded by the All Items less farm produce or Core sub index rose by 18.1 percent (year-on-year) in October, up by 0.4 percent points from rates recorded in September (17.7 percent). 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.

Inflation in the rural areas is ahead of urban areas, on month-on-month basis, the Urban index rose by 0.81 percent in October from 0.79 percent recorded in September, while the Rural index rose by 0.84 percent in October from 0.83 percent in September.

The NBS report says that “the percentage change in the average composite CPI for the twelve-month period ending in October 2016 over the average of the CPI for the previous twelvemonth period was 14.2 percent, higher from 13.5 percent recorded in September.

“The corresponding twelve-month year-on-year average percentage change for the urban index increased from 14.4 percent in September to 15.3 percent in October, while the corresponding rural index also increased from 12.6 percent in September to 13.3 percent in October.