Uganda’s inflation as measured by the Consumer Price Index for the month of October 2023 dropped to 2.4 percent from 2.7 percent in September 2023, latest statistics indicate.
According to Uganda Bureau of Statistics (UBOS), the drop-in inflation is due to reduced prices of major goods such as maize, rice, sugar, fresh cassava, onions and Mukene (silver fish)
UBOS says Maize flour inflation registered negative 23.0 percent in October 2023 compared to negative 3.8 percent registered in September 2023, sugar inflation registered 16.3 percent in October 2023 compared to 34.0 percent registered in September 2023, rice inflation registered 0.2 percent in October 2023 compared to 5.2 percent registered in September 2023 and Mukene inflation that registered negative 10.7 percent in October 2023 compared to negative 5.4 percent registered in September 2023.
However, Annual Services inflation increased to 2.2 percent in the year ending October 2023 compared to 1.6 percent registered in the year ended September 2023.
This is attributed to Annual Education Services inflation that increased to 6.1 percent in the year ending October 2023 compared to 3.8 percent registered in September 2023.
The inflation of housing, water, electricity, gas and other fuels rose to 3.9 percent in October 2023 compared to 3.0 percent registered in September 2023.
Prices of personal care, social protection and miscellaneous goods registered 6.8 percent inflation in October 2023 compared to 6.6 percent registered in September 2023.
Also, prices of Alcoholic Beverages, Tobacco and Narcotics went high in October, registering 4.3 percent inflation in October 2023 compared to 4.0 percent for the year ended September 2023.
Health sector inflation was registered at 2.1 percent for the year ending October 2023 compared to 1.8 percent for the year ended September 2023.
Also Monthly Energy Fuel and Utilities (EFU) inflation increased by 1.1 percent in October 2023 compared to the 1.7 percent rise registered in September 2023.
“The rise in EFU was mainly due to Water charges -NWSC inflation that increased by 3.0 percent in October 2023 from 0.0 percent recorded in September 2023, firewood inflation increased by 5.8 percent in October 2023 from the 0.1 percent rise registered in September 2023, Petrol inflation increased by 1.8 percent in October 2023 compared to the 8.4 percent rise recorded in September 2023 and Diesel inflation increased by 3.8 percent in October 2023 from 3.4 percent rise recorded in September 2023,” UBOS said in a statement.
Analysis by region and income groups shows that Fort portal registered the highest inflation of 4.7 percent for the 12 months to October 2023 compared to 5.1 percent recorded in September 2023.
“This was mainly driven by annual ’Education Services’ inflation that registered 9.1 percent in October 2023 compared to 3.5 percent registered in September 2023. In addition, Annual ’Transport’ inflation registered minus 2.6 percent in October 2023 compared to minus 5.6 percent registered in September 2023,” UBOS said.
The second highest inflation was registered in Jinja at 3.9 percent for the 12 months to October 2023 compared to 3.4 percent recorded in September 2023.
This was mainly driven by annual ’Housing, Water, Electricity, Gas and Other Fuels’ inflation that registered 9.3 percent in October 2023 compared to 7.2 percent registered in September 2023. In addition, Annual ’Furnishings, Household Equipment and Routine Household’ inflation registered 5.9 percent in October 2023 compared to 2.5 percent in September 2023.