This archive report was first published on 12 November 2019.
On November 12, 2019, the National Bureau of Statistics (NBS) announced that the annual headline inflation rates for Tanzania, Kenya, and Uganda for the month of October 2019 had increased compared to the corresponding period in September.
According to Ruth Davison, the Acting Director of Population, Census, and Social Statistics at NBS, Tanzania's annual headline inflation rate for October 2019 slightly increased to 3.6% from 3.4% recorded in September 2019.
Kenya's annual inflation rate increased to 4.95% from 3.83% recorded in September 2019, while Uganda's annual headline inflation rate increased to 2.5% from 1.9% recorded in September 2019.
The National Consumer Price Index (NCPI) measures the change over time in the cost of a fixed basket of goods and services purchased by a representative sample of households in Tanzania.
The basket includes 278 goods and services, of which 97 are Food and Non-Alcoholic Beverages and 181 are Non-Food items, priced on a monthly basis.
Food and Non-Alcoholic Beverages Inflation Rate for the month of October 2019 increased to 5.1% from 4.0% recorded in September 2019.
Ms. Davison noted that the Annual Inflation Rate for food consumed at home and away from home for the month of October 2019 had also increased to 6.0% from 5.1% recorded in September 2019.
On the other hand, the 12-month index change for non-food products in October 2019 had decreased to 2.7% from 3.1% recorded in September 2019.
According to Ms. Davison, the Annual Inflation Rate which excludes food and energy for the month of October 2019 had slightly decreased to 2.6% from 2.7% recorded in September 2019.
Excluding food and energy, which are the most volatile components in the total NCPI, could provide a more stable Inflation Rate figure for Policy Makers, Ms. Davison explained.
The overall index decreased to 115.84 in October 2019 from 115.92 recorded in September 2019, mainly attributed to the price decrease for non-food items.
Most of the non-food items that contributed to the decrease include kerosene by 2.5%, firewood by 1.7%, diesel by 2.1%, petrol by 4.0%, information processing equipment by 5.1%, and products for personal care such as hair cream by 1.6%.
