Kenya battles soaring energy costs amid worst inflation spike
Africa

Kenya battles soaring energy costs amid worst inflation spike

By Advocate | June 1, 2026 | 2 min read |

Fuel price spikes pushed Kenya's inflation to its highest level in more than two years during May. The Kenya National Bureau of Statistics released the figures on Friday. Annual inflation…

Fuel price spikes pushed Kenya's inflation to its highest level in more than two years during May. The Kenya National Bureau of Statistics released the figures on Friday.

Annual inflation jumped to 6.7 percent from 5.6 percent in April. It's the steepest reading since January 2024.

Transport costs bore the brunt of the increase. Prices in that sector surged 16.5 percent year-on-year, up from 10 percent the previous month.

The government had raised fuel prices twice. Both hikes occurred in April and May as global oil costs climbed.

Tensions involving Iran and Middle East conflicts drove those global energy prices higher. Several African nations reliant on imported fuel felt the pressure.

Food and non-alcoholic beverage prices also climbed faster. They rose 9.4 percent compared with 8.8 percent previously.

Housing, water, electricity and gas costs accelerated too. Households and businesses now face ripple effects across the entire economy.

Kenya's situation differs from some neighbours. Zambia's inflation eased to 6.6 percent in May, its lowest in over eight years.

A stronger kwacha helped Zambia control price pressures. Kenya hasn't enjoyed similar relief.

Rising inflation here complicates economic policy choices. Officials must balance growth with price stability as living costs bite harder.

Kenya's Central Bank will announce its next rate decision on June 9. It kept rates unchanged at its April meeting, pausing a nearly two-year easing cycle.

Share this story: Facebook Post WhatsApp LinkedIn

Get the latest news in your inbox

Subscribe to Advocate.ng and never miss a story. No spam.