By Naome Namusoke/ KMA UPDATES
Uganda’s annual inflation has edged up to 3.2%, according to the latest monthly report released by the Uganda Bureau of Statistics (UBOS), marking a slight increase from the 3.1% recorded previously. The marginal rise highlights continued price pressures in key sectors of the economy, particularly transport and household commodities.
UBOS attributes the increase in inflation largely to higher air passenger transport fares, as well as rising costs of essential household items such as sugar, fish and laundry services. The report indicates that these price adjustments have contributed significantly to the overall uptick in the cost of living for households across the country.
A regional breakdown of the inflation trends shows that Kampala and Masaka registered the highest inflation rates during the period under review. The surge in these areas is mainly driven by increased transport costs and financial services, reflecting the growing demand and operational expenses within urban centers.
In contrast, Arua recorded the lowest inflation rate at 1.3%, with price movements largely influenced by food and non-alcoholic beverages. UBOS notes that relatively stable food prices in the region helped cushion consumers from sharper increases seen elsewhere.
Economists say that while the rise from 3.1% to 3.2% may appear modest, it signals persistent cost pressures that could affect household purchasing power if sustained over time. They also emphasize the importance of monitoring transport and commodity prices, which often have a ripple effect on other sectors of the economy.
UBOS continues to track price movements across the country through its monthly Consumer Price Index reports, which serve as a key indicator of economic performance and guide policymakers in decision-making.
