Announcing the annual headline inflation rate for the month of January 2020, the bureau’s acting director of population census and social statistics, Ruth Davison said there are all indications that food prices are likely to go down as farmers are nearer the harvesting season.
She said the annual headline for the month of January 2020 has decreased to 3.7 percent from 3.8 percent recorded in December 2019.
“ The decrease of the headline inflation explains that , the speed of price change for commodities for the year ended January 2020 has decreased compared to the speed of price change recorded for the year ended December,2019,” she said.
She noted that the overall index went up to 117.60 in January ,2020 from 113.38 recorded in January,2019, adding that food and non- alcoholic beverages inflation rate for the same moth has also decreased to 5.7 percent from6.3 percent recorded in December 2019.
Annual inflation rate for food consumed at home and away for the month of January, according to the acting director, has also decreased to 6.4 percent from 6.9 percent recorded in December, 2019.
On the other hand, the 12- month index change for non-food products in January,2020 has slightly increased to2.4 percent from 2.3 percent recorded in December,2019.
The annual inflation rate, which excludes food and energy for the month of January 2020, she said, has stagnated at 2.1 percent as it was recorded in December, 2019.
At the same time, the national consumer price index from December,2019 to January,2020 has increased by 0.4 percent compared to increase of 0.6 percent recorded from November,2019 to December,2019.
“The overall index has increased to 117.60 in January,2020 from 117.10 recorded in December,2019” she said, adding that the increase in overall index is attributed to the price increase for food and non-food items.
Some of the food items that contributed to such increase include fish by 1.7 percent, vegetables (4.1), beans (2.2), cassava (2.4) and cooking bananas (1.7).
On the other hand, some of the non-food items that contributed to such increase includes, actual rental paid by tenants by 2.3 percent, petrol(1.4) and school fee for private primary and secondary schools b 1.9 and 1.8 percents respectively.
In comparison with other East African countries of Kenya and Uganda, all the three countries have experienced decreased annual headline inflation rate with Uganda having 3.4 percent compared to 3.6 percent recorded in December as Kenya also move down from 5.82 percent recorded in December,2019 to 5.78 percent in January.