NAIROBI—Kenya’s annual consumer inflation ticked up to 4.4% in March 2026, according to data released Tuesday by the Kenya National Bureau of Statistics (KNBS). The marginal increase from February’s 4.3% reflects a persistent upward trend in food costs and energy prices that continues to test the resilience of East Africa’s largest economy.

The Consumer Price Index (CPI), which tracks the weighted aggregate change in retail prices for a fixed basket of goods, rose to 150.00 in March, up from 149.20 the previous month. This 0.5% monthly increase was largely spearheaded by the Food and Non-Alcoholic Beverages division, which saw prices climb 1.1% in just thirty days.

The Food and Energy Dilemma

The burden on Kenyan households remains centered on the dining table. Food inflation surged 7.7% on a year-on-year basis, contributing a significant 2.2 points to the overall inflation rate. While some staples like sugar and cabbages saw annual price declines of 1.0% and 33.8% respectively, these were offset by sharp spikes in other essentials. Tomatoes emerged as a primary culprit, with prices soaring 13.3% in March alone, while Irish potatoes jumped 4.9%.

The energy sector provided a mixed bag for policymakers. Electricity costs rose between 2.2% and 2.5% over the month, adding pressure to the Housing, Water, Electricity, Gas and Other Fuels division. Conversely, the price of LPG (cooking gas) saw a marginal decline of 0.1%, and petrol prices remained stagnant at KSh 179.35 per litre.

Core Inflation Stability

For investors and central bankers, "core" inflation—which strips out volatile items like fresh produce and energy—remained steady at 2.1%. This suggests that while supply-side shocks in agriculture and global energy are pushing the headline number, the underlying inflationary pressure in manufactured goods and services remains contained.

The Transport sector, a critical pillar of the Kenyan economy, recorded a 3.8% annual increase, though it remained flat on a month-to-month basis. Other sectors, such as Education Services and Health, reported annual increases of 3.3% and 2.7% respectively, reflecting a broad-based but moderate rise in the cost of living.

Reference Notes

• Source Document: Kenya National Bureau of Statistics (KNBS), "The Kenya Consumer Price Index and Inflation Report," Released March 31, 2026.

Consumers monitoring their monthly expenses should keep a close watch on the fluctuating prices of the national grocery list.

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