Uganda’s inflation rate rose for the first time in five months in January amid a rebound in core inflation and an increase in energy, fuels, and utilities prices.
The statistics bureau said consumer price inflation, which is measured by the consumer price index, rose 2.7% year on year in January, up from 2.2% registered in December 2018.
The rise in the annual inflation rate was due to an increase in core inflation to 3.4% versus the 2.8% recorded in December, and an increase in energy, fuels and utilities inflation to 7.2% compared to December’s 6.9%.
Core inflation—which strips out volatile food and energy prices—rose due to increases in other goods inflation, particularly prices of footwear and clothing, and services inflation.
Food crops and related items inflation fell 5.2%, down from December’s 5% decline, largely due to a year on year decline in the prices of vegetables. Fruits prices however rose over the past 12 months.
Monthly inflation also rose by 0.2%, up from a decline of 0.2% in December. This was mainly due to an increase in food crops and related items inflation of 0.4% versus a 3.7% decline in December; the increase was driven by a price in the price of vegetables.
Core inflation and energy, fuel, and utilities inflation also registered increases month on month in January.