Rwanda’s inflation rate eases to 6.4% in November

Rwanda’s inflation rate eased to 6.4 per cent year on year in November, from 7.4 per cent recorded the previous month, the National Institute of Statistics of Rwanda (NISR) monthly consumer price index (CPI) indicates. The report shows that foodstuff prices, especially vegetables that rose 18 per cent, were the main drivers of inflation during November. The prices for food and non-alcoholic beverages stood at 13.5 per cent in November. The food and non-alcoholic beverages component contributes the highest ratio of 28 per cent to the total CPI measure. However, food and non-alcoholic beverages prices were almost stable last month compared to October. Rwanda uses CPI to measure the average change over time of goods and services bought by households. According to the index, the other main driver was transport prices, which rose to 7.5 per cent on an annual basis, while prices for housing water, electricity, gas and other fuels were up 1.1 per cent. Prices for the ‘local goods’ component were registered at 6 per cent year-on-year, a reduction from 7.8 per cent in the previous month, while that of imported products rose to 7.7 per cent on annual basis, from 6.3 per cent during the previous month. The index further indicates that from local goods prices declined marginally by 0.2 per cent, but those of imported goods went up by 1.1 per cent. Prices for fresh products eased 13.7 per cent year-on-year in November, down from 18.8 per cent recorded in October, driven by a decline in prices of fresh products of 1.2 per cent month-on-month inflation from 6.2 per cent in October. The urban CPI increased by 6.4 per cent on annual basis and 0.1 per cent month-on-month basis. The annual average rate between November 2016 and November 2015 is 5.5 per cent. The rural inflation rose to 10.6 per cent year-on-year, and 0.7 per cent on a monthly basis. Overall, the Rwanda index increased by 9.1 per cent on an annual basis and went up marginally on a monthly basis at 0.5 per cent. The underlying inflation rate, excluding fresh food and energy, increased by 0.5 per cent when compared to October, but grew 5 per cent year-on-year. The annual average underlying inflation rate was recorded at 3.8 per cent during the month.

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Rwanda’s inflation rate eases to 6.4% in November