Rwanda’s inflation slows to 1.9% in May

Rwanda’s inflation rate declined to 1.9 per cent year-on-year in May 2014, down from 2.72 per cent the previous month, the National Institute of Statistics of Rwanda monthly consumer price index (CPI) report released yesterday indicates. According to the report, this was mainly due to the rising prices of food and non-alcoholic beverages (3 per cent) and restaurants and hotels that inched up 10.6 per cent. The month-on-month inflation rate also eased by 0.7 per cent last month compared to April. “The two biggest negative contributions were from transport (0.1 percentage points) and housing, water, electricity, gas and other fuels of 0.2 percentage points,” the report noted. According to the report, the annual average inflation rate between May 2013 and May 2014 was at 3.6 per cent. The underlying inflation rate, excluding fresh food and energy, eased 0.1 per cent compared to April 2014. It was, however, up by 2.3 per cent compared to May 2013, reflecting an annual average underlying inflation rate of 3.4 per cent. Prices of food and transport were up by 0.1 percentage points, while those of housing, water, electricity and gas shed 0.2 percentage points. The monthly change in CPI was -0.7 per cent in May compared to April 2014. Prices of vegetables and transport dropped by 2.3 and 0.7 per cent, respectively. The local goods index increased by 2.3 per cent on an annual basis, that of imported goods inched up by 0.9 per cent and fresh products were up by 3 per cent, while the energy index dropped by 4.2 per cent.

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Rwanda’s inflation slows to 1.9% in May