Cost of living eases in April on low food, fuel prices

Money Markets

Traders at a food market. Inflation dropped to 5.27 per cent in April on lower food prices and reduced motoring expenses as petrol prices fell. PHOTO | FILE 

By NEVILLE OTUKI, notuki@ke.nationmedia.com

Inflation dropped to 5.27 per cent in April on lower food prices and reduced motoring expenses as petrol prices fell.

The Kenya National Bureau of Statistics (KNBS) data shows that the cost of living measure eased from 6.45 per cent in March.

This marks the fourth consecutive drop since last December when inflation stood at a high of 8.01 per cent.

“In totality food inflation stood at 6.84 per cent, which is the lowest, recorded in the recent past,” KNBS said in a statement.

Food accounts for the largest share (36 per cent) of the basket of goods that the bureau uses to calculate inflation.

The energy regulator mid-April cut petrol prices to a six year low, offering motorists a big relief.

At 5.27 per cent, inflation is within the Central Bank of Kenya’s preferred target range of  between 2.5 per cent and 7.5 per cent