Cost of living rises as prices of basic commodities surge in March 2025

Households across the country are grappling with the rising cost of living, as inflation in March 2025 reached 3.6 percent.

The figure marked a marginal increase from the previous month's 3.5 percent and continued a four-month streak of rising inflation since falling below 3 percent in October 2024.

Data from the Kenya National Bureau of Statistics (KNBS) revealed a general uptick in the prices of essential goods, particularly in the Food and Non-Alcoholic Beverages sector.

These rising costs are putting more strain on consumers already facing difficult economic conditions.

The surge in prices across various food items has been one of the primary contributors to the inflationary trend.

A kilogram of sukuma wiki, for example, increased by 6 percent to Sh88.5, while the price of loose maize grain rose by 3.3 percent reaching Sh64.7. A 2kg packet of fortified maize flour also saw a 2.9 percent increase, now costing Sh165.05.

Beef with bones rose slightly by 0.9 percent to Sh672.5 per kilogram, further compounding the financial burden on Kenyan families.

Electricity prices also saw an uptick, contributing to the overall inflationary pressures.

Although food prices were the dominant factor in the rise, the Transport sector also played a role. The cost of domestic flights increased by 3.9 percent, leading to a 1.5 percent rise in transport-related costs.

However, there was a small degree of relief in other sectors. The Housing, Water, Electricity, Gas, and Other Fuels category declined by 0.8 percent offering a brief respite to households.

Cooking gas prices did rise slightly by 0.2 percent compared to February, but they remain 2.7 percent lower than in March 2024.

The increase in inflation, when viewed over the past year, reflects a 6.6 percent rise in the prices of essential commodities.

According to the KNBS, the Consumer Price Index (CPI) in March 2025 showed a 3.6 percent increase compared to the same period in 2024.

This was primarily driven by rising prices in the Food and Non-Alcoholic Beverages category (6.6 percent) and the Transport sector (1.5 percent).

Breaking down the sectors, food and non-alcoholic beverages saw a 0.7 percent rise in prices between February and March.

The Housing and Utilities Index also saw a small increase, rising by 0.2 percent, largely due to slight rises in the cost of LPG and electricity tariffs for both 50 kWh and 200 kWh, which increased by 1.0 percent and 0.9 percent, respectively.

In contrast, fuel prices remained unchanged, but the Transport Index still saw an increase, reflecting higher airfares.

The restaurant and accommodation services index also climbed by 0.4 percent, driven by rising costs in meals at hotels and restaurants.