Rwanda’s inflation accelerates to 15.9% in August

Rwanda’s annual inflation rate accelerated in August, with consumer prices rising by 15.9% compared with the same month last year, according to the National Institute of Statistics of Rwanda (NISR).

The latest Consumer Price Index shows inflation continued to climb from the 13.8% recorded in July, pointing to continued pressure on household spending across the country.

Food and non-alcoholic beverages were among the main drivers, with prices rising by 16.7%. Housing, water, electricity, gas and other fuels increased by 19.9%, while transport costs rose sharply by 27.5%.

Prices for restaurants and accommodation increased by 13.7%, while alcoholic beverages and tobacco rose by 8.2%.

The increase was recorded in both urban and rural areas. In cities, consumer prices rose by 15.7% year-on-year in August, up from 14.5% in July.

The urban increase was driven by a 16.3% rise in food and non-alcoholic beverage prices, a 20.4% increase in housing, water, electricity, gas and other fuels, and a 24.2% rise in transport costs. Restaurant and accommodation prices increased by 15.6%.

Rural areas recorded a slightly higher annual increase of 16%, compared with 13.3% in July. Food and non-alcoholic beverages rose by 16.8%, while transport costs surged by 38.8%.

On a monthly basis, consumer prices across Rwanda increased by 2.6% in August compared with July. Food and non-alcoholic beverages again accounted for much of the increase, rising by 4.6%.

The latest figures indicate that rising food, transport and essential household costs remain key sources of inflationary pressure in Rwanda.