By the 254.ke Newsroom
Kenya’s annual inflation rate rose to 7.3 percent in October 2026 from 6.8 percent in September, the Kenya National Bureau of Statistics (KNBS) said on Friday, October 30. It is the sixth straight month above 6 percent, and it leaves the rate 0.2 percentage points short of the 7.5 percent upper limit of the Central Bank of Kenya’s target band. Transport, food and fuel did most of the damage.
What is Kenya’s inflation rate for October 2026?
KNBS puts it at 7.3 percent year on year. The rate has climbed every month since June, according to the series published with the report.
| Month (2026) | Annual inflation |
|---|---|
| June | 6.4% |
| July | 6.5% |
| August | 6.6% |
| September | 6.8% |
| October | 7.3% |
The jump from September to October, at 0.5 points, is the sharpest step in that run. Bloomberg described it as a three-year high, driven by record gasoline prices.
Which prices are pushing it up?
KNBS attributed the increase mainly to three groups of items over the one-year period: food and non-alcoholic beverages (10.2 percent), transport (17.1 percent) and housing, water, electricity, gas and other fuels (3.7 percent). Together they carry more than 57 percent of the weight in a typical household’s spending basket.
Transport recorded the highest annual increase. The national average pump prices reported in the survey show why:
- Petrol: Sh227.85 a litre, up from Sh214.95 in September.
- Diesel: Sh228.77, up from Sh219.04.
- Kerosene: Sh220.88, up from Sh192.56, a rise of 14.7 percent in a month.
- Matatu fare, Westlands to Kangemi: Sh50, up from Sh40.
Our earlier report on October fuel prices and the Oct 15 to Nov 14 EPRA review cover how the regulator set the current pump caps.
How much more are food staples costing?
Most items KNBS tracks moved up between September and October. Sugar was a rare exception.
| Item | September | October |
|---|---|---|
| 500 ml packet of milk | Sh61.23 | Sh64.13 |
| Fresh milk, per litre | Sh77.54 | Sh80.58 |
| Irish potatoes, per kg | Sh121.98 | Sh125.06 |
| Cabbages, per kg | Sh79.16 | Sh82.38 |
| Beef with bones, per kg | Sh782.68 | Sh789.29 |
| Wheat flour, 2 kg | Sh181.11 | Sh184.88 |
| Beans, per kg | Sh182.76 | Sh185.75 |
| Sugar, per kg | Sh165.79 | Sh163.84 |
Household energy was mixed. A 13 kg cooking gas cylinder edged up to Sh3,429.61 from Sh3,419.24, while the cost of 200 units of electricity slipped marginally to Sh5,529.66 from Sh5,533.76.
What do core and non-core inflation show?
Core inflation, which strips out volatile food and fuel items, rose to 4.3 percent from 4.0 percent. Non-core inflation jumped to 15.1 percent from 14.0 percent. The gap tells the story: the pressure is coming from food and energy, not from broad demand across the economy.
For September, KNBS Director General Macdonald Obudho had pointed to food (9.5 percent), transport (15.6 percent) and housing and fuels (3.2 percent). Each of those readings has since moved higher.
What does it mean for households and the Central Bank?
At 7.3 percent, the rate sits just under the Central Bank of Kenya’s 7.5 percent ceiling. A breach would put the Monetary Policy Committee under pressure at its next sitting, though the CBK had not commented on the October figures at the time of writing. Households are feeling it first at the pump and in the matatu fare, which tends to lift prices elsewhere.
We covered the previous reading in Kenya inflation August 2026: 6.6% and what got costlier. The Treasury’s spending plans, outlined in the 2027/28 draft budget, will be set against this backdrop. KNBS publishes the full Consumer Price Index report on knbs.or.ke.
Frequently asked questions
What is Kenya’s inflation rate in October 2026?
7.3 percent year on year, up from 6.8 percent in September, according to KNBS.
What is the CBK’s inflation target?
The central bank aims for 5 percent, with a tolerance band of plus or minus 2.5 percentage points, so the upper limit is 7.5 percent.
Which category rose the most?
Transport, at 17.1 percent over the year, followed by food and non-alcoholic beverages at 10.2 percent.
Did any prices fall?
Sugar and, marginally, electricity for 200 units were lower than in September.
When is the next inflation release?
KNBS normally publishes the monthly CPI at the end of each month; the November figures are due at the end of November.
Sources: KNBS Consumer Price Index report as reported by Kenyans.co.ke (October 30, 2026) and Bloomberg (October 30, 2026); The Star (October 1, 2026) for September figures.
