Rwanda’s inflation rate accelerated in January, driven by rising transport and food costs, underscoring persistent price pressures in the East African nation.
The Consumer Price Index (CPI), the main gauge of inflation, rose 7.4 percent year-on-year, up from 6.8 percent in December, according to the National Institute of Statistics of Rwanda. On a monthly basis, inflation remained relatively stable, reflecting minor shifts in key categories.
Food and non-alcoholic beverages, a major component of the index, increased 7.2 percent from a year earlier but edged down 0.1 percent from December. Housing, water, electricity, gas, and other fuels rose 4 percent annually and remained flat on a monthly basis.
Transport costs surged 18.5 percent year-on-year, marking the steepest increase among major components, and climbed 0.8 percent from the previous month. Meanwhile, prices in the restaurants and hotels category rose 9.5 percent annually and 3.4 percent monthly, signaling continued pressure in the services sector.
Locally produced goods saw prices increase 7.7 percent from a year earlier and 0.4 percent from the previous month, while imported product prices climbed 6.8 percent annually and 0.8 percent monthly.
Fresh products recorded a 13.7 percent annual rise but declined 0.3 percent on a monthly basis, suggesting seasonal adjustments in food supply. Energy prices rose 1.1 percent year-on-year but edged down 0.1 percent from December. Core inflation, which excludes fresh products and energy, stood at 6.2 percent year-on-year and 0.8 percent on a monthly basis, pointing to sustained underlying inflationary pressures.
