Release of CPI and rates of inflation for July 2017

In line with the Kenya National Bureau of Statistics commitment to release data for the monthly Consumer Price Indices (CPI) and rates of inflation on the last working day of the month, we hereby release the numbers for July, 2017. These numbers are generated by surveying prices of a basket of goods and services.

The survey was undertaken as normal, during the second and third weeks of the month under review. The prices are obtained from selected retail outlets in 25 data collection zones spread across Nairobi and 13 other urban centers.

The CPI decreased by 0.96 per cent from 185.39 in June 2017 to 183.60 in July 2017. The overall year on year inflation in July 2017 was 7.47 per cent.


Release of Producer Price Index Second Quarter 2017

The overall producer prices increased by 1.61 per cent compared with the previous quarter to reach 119.47 points. The increase was mainly driven by rise in the manufacture of food products and manufacture of chemicals and chemical products.
However, during the same period producer prices of electricity, manufacture of other non-metallic mineral products and manufacture of basic metals declined.

The producer price index of food products increased due to rise in prices of sugar, grain mill products especially maize flour, tea and processed milk compared with the first quarter of 2017. Manufacture of furniture and manufacture of wood and of products of wood and cork also increased in the review period. However, producer prices of cement, salt extracts and wearing apparel declined compared with the first quarter. The producer prices of some products especially cement have dropped due to competition.

The overall PPI increased from 117.58 in the first quarter 2017 to 119.47 in the second quarter 2017. The ‘year on year’ inflation was 6.44 per cent. Under manufacture of food, which has the highest weight in the PPI basket, the year on year inflation was 15.93 per cent in June 2017.


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