Kenya’s annual consumer inflation rose to 6.6 percent in August 2026, up from 6.5 percent in July, sustained by elevated transport costs and persistent food price pressures[cite: 1]. According to data released by the Kenya National Bureau of Statistics (KNBS), the Consumer Price Index (CPI) advanced 0.4 percent month-on-month to reach 155.85.
The year-on-year headline trajectory remains anchored by three heavily weighted expenditure categories: Transport, Food and Non-Alcoholic Beverages, and Housing, Water, Electricity, Gas and Other Fuels, which collectively account for over 57 percent of the national consumer basket.
| Indicator | August 2026 | July 2026 | August 2025 |
|---|---|---|---|
| Headline Inflation (YoY) | 6.6% | 6.5% | 4.5% |
| Consumer Price Index (CPI) | 155.85 | 155.20 | 146.21 |
| Transport Division (YoY) | 15.7% | 14.9% | N/A |
| Food & Non-Alcoholic Beverages (YoY) | 9.0% | N/A | N/A |
| Core Inflation (YoY) | 3.4% | 3.2% | 3.0% |
| Non-Core Inflation (YoY) | 14.7% | 15.0% | 9.2% |
The August data reveals a bifurcated price landscape across primary household expenditures[1]. Transport costs posted the sharpest annual surge at 15.7 percent, despite a monthly 2.2 percent drop in retail diesel prices to KSh 219.04 per liter[1]. Petrol prices remained flat at KSh 214.95 per liter[1]. However, increases in country bus and matatu fares (+2.1%) and local flight routes (+4.1%) pushed overall monthly transport division costs up by 0.7 percent[1].
Food prices climbed 9.0 percent year-on-year, though key staples delivered month-on-month relief[1]. A 2-kilogram packet of sifted maize flour declined 2.7 percent to KSh 152.89, while sugar and cooking oil registered modest decreases of 0.6 percent and 0.4 percent, respectively[1]. These gains were offset by sharp increases in fresh produce, led by Sukuma Wiki (kale) up 4.3 percent and Irish potatoes up 4.1 percent month-on-month[1].
Underlying price dynamics show non-core inflation—comprising volatile items such as energy and unprocessed food—running at 14.7 percent year-on-year, contributing 2.7 percentage points to the overall August headline rate[cite: 1]. Meanwhile, core inflation, which tracks manufactured goods and services like healthcare, education, and ICT, edged up to 3.4 percent[1]. Core items contributed 3.9 percentage points to total inflation, signaling steady underlying demand across broader services and non-perishable markets[1].
