Inflation Rate Hits 18.3% For October (Sept 17.85%)
The National Bureau of Statistics has released its 2016 October Consumer Price Index (CPI) which measures inflation. According to the Bureau, inflation rate for the month of October 2016 was 18.3 percent representing a 0.48 percent points increase from the rate recorded in September (17.9 percent).
According to the Bureau, increases were recorded across almost all major divisions which contribute to the Headline Index.
On a month-on-month basis, the Headline index rose by 0.83 percent in October, higher from the rate recorded in September (0.81 percent). The Urban index rose by 19.9 percent (year-on-year) in October from 19.5 percent recorded in September, and the Rural index increased by 16.95 percent in October from 16.4 percent in September.
The Composite Food Index rose by 17.1 percent in October 2016. The rise in the index was caused by increase in prices of Bread and Cereal, Fish, and Meat. On a month-on-month basis, the Food sub-index increase by 0.86 percent in October from 0.81 percent recorded in September.
All Items Less Farm Produce (Core Inflation)
The ‘’All Items Less Farm Produce’’ or Core sub-index, which excludes the prices of volatile agricultural produce increased by 18.1 percent during the month, 0.4 percent points from 17.7 percent recorded in September as all key divisions which contributes to the index increased. On a month-on-month basis, the Core sub-index rose by 0.75 percent in October, down by 0.21 percent points from 0.96 percent recorded in September. The highest increases were seen in Housing, Water, Electricity, Gas and Other Fuels as well as, fuels and lubricants for personal transport equipment and Education. The average 12-month annual rate of rise of the index was recorded at 13.76 percent for the twelve-month period ending in October 2016, 0.78 percent points higher from the twelve-month rate of change recorded in September.