Kenya’s annual headline inflation accelerated to 7.3% in October 2026, up from 6.8% in September. The surge marks the highest reading since June 2023.
According to data released Friday by the Kenya National Bureau of Statistics (KNBS), the Consumer Price Index (CPI) rose 0.7% month-on-month to reach 157.60, driven by escalating essential consumer prices.
The print marks the seventh consecutive month headline inflation has stayed above the Central Bank of Kenya’s (CBK) 5.0% medium-term target midpoint. It now sits just 0.2 percentage points shy of the 7.5% upper policy bound.
Surging food and transport costs pushed consumer expenditure higher. The Food and Non-Alcoholic Beverages index climbed 10.2% year-on-year, while the Transport index surged 17.1% amid higher retail pump prices.
Specific staple price movements included packaged cow milk, which rose 4.7% month-on-month to KSh 64.13 per 500ml. Meanwhile, Irish potatoes and cabbages increased by 2.5% and 4.1%, respectively.
Rising energy costs further intensified price pressures across urban households. Retail kerosene prices increased to KSh 220.88 per liter, while petrol and diesel adjusted upward to KSh 227.85 and KSh 228.77.
The continuous acceleration mounts policy pressure on the Monetary Policy Committee ahead of its December meeting. The CBK previously held its Central Bank Rate at 8.75% during its October 7 sitting.
