Kenya’s annual inflation rate rose to 7.3% in October, up from 6.8% in September, reaching its highest level since July 2023. Food, transport and housing-related costs were the main contributors, with the three groups together accounting for more than 57% of the consumer price index basket.
The official October figures, made public on Friday, 30 October 2026, show an increase of 0.5 percentage points in the annual rate. They draw on prices collected across urban markets nationwide, bringing together changes in different types of goods and services into a single measure of consumer-price inflation.
The 7.3% figure measures the change in the overall price index over a year. It does not mean prices rose by that amount during October alone. Similarly, the move from September’s annual rate to October’s describes a rise in the pace of year-on-year inflation, rather than a monthly increase of 0.5% in prices.
Food and transport lead the pressures
Food and non-alcoholic beverages recorded an annual price increase of 10.2%. That was above the overall inflation rate and made the category one of the largest contributors to October’s figure. The category covers a broad group of purchases, so its annual change should not be read as the increase in every individual food item.
Transport prices were 17.1% higher than a year earlier, the largest annual increase among the three main contributing groups. The figure describes the transport category as a whole. It is distinct from the headline inflation rate, which combines transport with the other categories represented in the consumer price index.
Housing, water, electricity, gas and other fuels recorded a smaller annual increase of 3.7%. Although that rise was below the overall rate, the group remained one of the principal contributors. Its role illustrates why the size of a category’s price increase is not the only consideration when assessing its influence on inflation.
The three groups’ combined share of more than 57% of the basket gives them substantial weight in the overall calculation. A category’s contribution depends on both its price movement and its place in that basket. The annual increases of 10.2%, 17.1% and 3.7% therefore cannot simply be added together to produce the national rate.
A broad measure, not a household bill
The figures put essential spending categories at the centre of October’s inflation picture. Food purchases, transport and housing-related expenses all feature in the main drivers, but the national index is an aggregate measure. It does not establish that every household’s costs rose by 7.3%, or that all purchases became more expensive at the same pace.
Different spending patterns also matter when interpreting the figures. A household’s mix of purchases may differ from the mix represented in the index. The headline rate provides a common measure of price changes across the basket, rather than a separate calculation for each household or each urban market where prices were collected.
Alongside the headline figure, non-core inflation stood at 15.1%, while core inflation was 4.3%. These separate measures show a marked difference within the wider inflation picture. Neither replaces the overall annual rate of 7.3%, and their figures should not be treated as additional increases to be added to it.
October’s result marks a further rise from September and the highest annual rate since July 2023. The clearest pressures were concentrated in food, transport and housing-related costs: categories with both a significant place in the basket and differing rates of annual price growth. Together, they explain the main shape of the month’s inflation figures.
