Uganda inflation nearly flat in October

October 31, 2016 in Business, Markets, Policy by Editor

KAMPALA OCTOBER 31 – Uganda’s headline inflation held to gains made in September dropping marginally to 4.1 percent in October against the 4.2 percent recorded last month.

The trend, largely in line with predictions made in February is attributed to a sharp decline in annual food crops inflation which fell to 1.7 percent for the year ending October from 5.0 percent a month ago.

“A reduction in vegetables inflation  to 6.0 percent from 11.1 percent and a minus 1.1 percent  registered by the fruits inflation from 0.9 percent all contributed to a decline in annual food crops inflation,” said Chris Mukiza,
the Director for Macro Economic Statistics at the Uganda Bureau of Statistics.

The same period however witnessed an increase in annual core inflation which jumped from 4.1 percent in the September to 5.1 percent in October. Mukiza attributed this to an increase in services inflation that increased from 3.5 percent in September to 6.5 percent this month.