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 August, 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 increased by 0.61 per cent from 183.78 in July to 184.72 in August 2017. The overall year on year inflation stood at 8.04 per cent in August 2017.
Consumer Price Index (CPI) decreased from 187.64 points in May 2017 ton 185.39 points in June 2017. The overall rate of inflation declined from 11.70 per cent to 9.21 per cent during the same period. In May 2017, the Kenyan Shilling depreciated against the major trading currencies except for the Japanese Yen and the Tanzanian shilling.
The average yield rate for the 91-day Treasury bills, which is a benchmark for the general trend of interest rates, decreased from 8.71 per cent in May 2017 to 8.40 per cent in June 2017 while the inter-bank rate fell from 4.93 in May 2017 to 4.80 per cent in June 2017.
The Nairobi Securities Exchange (NSE) 20 share index increased from 3,441 points in May 2017 to 3,607 points in June 2017, while the total number of shares traded rose from 697 million shares to 749 million shares during the same period. The total value of NSE shares traded increased from KSh 16.35 billion in May 2017 to KSh 17.14 billion in June 2017.
Broad money supply (M3), a key indicator for monetary policy formulation, increased from KSh 2,857.75 billion in May 2017 to KSh 2,920.47 billion in June 2017. Gross Foreign Exchange Reserves expanded from KSh 1,129.40 billion in May 2017 to KSh 1,132.99 billion in June 2017. Net Foreign Exchange Reserves decreased from KSh 658.59 billion in May 2017 to KSh 651.97 billion in June 2017.