Kenya Inflation Rate Today and History
Important
Executive Summary:
- Kenya’s inflation rate is 6.68% (12-month CPI, May 2026), with the annual-average measure at 4.66%.
- Over 257 months since January 2005, inflation has ranged from a low of 1.85% (April 2007) to a high of 19.72% (November 2011).
- Inflation is the hurdle your savings must clear. If your money earns less than 6.68%, it is losing purchasing power. A money market fund is one of the few easy ways for a Kenyan to beat it.
Inflation is the quiet tax on every shilling you hold. It is the rate at which prices rise, which means it is also the rate at which idle cash loses value. Kenya’s inflation rate is currently 6.68% (May 2026), which is higher than a year earlier (3.75% in May 2025). This page tracks the official monthly series so you can see the trend and, more importantly, work out what your savings are really earning after inflation.
What is the Kenya inflation rate today?
Kenya’s inflation rate is 6.68%, measured as the 12-month change in the Consumer Price Index for May 2026 (the annual-average measure is 4.66%). The figure is compiled monthly and reported by the Central Bank of Kenya. The 12-month rate is the headline number: it compares prices now to the same month a year ago.
What inflation means for your money
- Cash and bank accounts lose value. A bank savings account paying 2 to 4 percent, with inflation at 6.68%, means your money is shrinking in real terms every year you leave it there.
- You need a real return. What matters is not the headline yield but the yield after inflation. If an investment pays 6.68% and inflation is 6.68%, your real return is zero.
- It is why the Central Bank moves rates. When inflation rises, the CBK tends to raise the Central Bank Rate to cool it; when inflation falls, the CBK can cut. That same rate drives money market fund yields.
Inflation vs your money market fund: the real-return test
This is the test most Kenyans never run. Take a money market fund paying 10.00% gross. After the 15% withholding tax that is about 8.50% net. Subtract today’s inflation of 6.68% and your real return is roughly 1.82%. Positive, but smaller than the headline suggests, which is exactly the point: always read a yield against inflation. See the current MMF rates and how to read a rate net of tax.
The recent trend
Over the last year, inflation has gone from 3.75% (May 2025) to 6.68% (May 2026). The most recent months:
| Month | 12-Month Inflation | Annual Average |
|---|---|---|
| May 2026 | 6.68% | 4.66% |
| April 2026 | 5.59% | 4.42% |
| March 2026 | 4.39% | 4.29% |
| February 2026 | 4.25% | 4.23% |
| January 2026 | 4.40% | 4.16% |
| December 2025 | 4.49% | 4.07% |
| November 2025 | 4.46% | 3.94% |
| October 2025 | 4.56% | 3.80% |
| September 2025 | 4.58% | 3.65% |
| August 2025 | 4.53% | 3.56% |
| July 2025 | 4.15% | 3.55% |
| June 2025 | 3.82% | 3.56% |
| May 2025 | 3.75% | 3.63% |
| April 2025 | 4.11% | 3.74% |
| March 2025 | 3.62% | 3.81% |
| February 2025 | 3.45% | 3.98% |
| January 2025 | 3.28% | 4.21% |
| December 2024 | 2.99% | 4.50% |
Watch the direction, not one month. A sustained fall in inflation usually comes with falling interest rates, which means today’s high MMF yield will not last; a sustained rise is the opposite. Either way, keep your emergency fund liquid and make sure it is at least keeping pace with inflation.
Frequently Asked Questions
What is the current inflation rate in Kenya? Kenya’s inflation rate is 6.68% (12-month CPI) as of May 2026, with the annual-average measure at 4.66%. It is updated monthly.
What has been the highest and lowest inflation in Kenya? In this record of 257 months since January 2005, 12-month inflation peaked at 19.72% (November 2011) and fell to a low of 1.85% (April 2007).
How does inflation affect my savings and money market fund? Inflation is the hurdle your returns must clear. If your savings earn less than inflation, they lose purchasing power. With inflation at 6.68%, a money market fund (paying well above that gross) is one of the simplest ways for a Kenyan to earn a positive real return on cash. See the current MMF rates.
What is the difference between 12-month and annual-average inflation? The 12-month (year-on-year) rate compares this month’s prices to the same month last year, so it reacts faster. The annual-average rate smooths the last 12 months against the previous 12, so it moves more slowly. The 12-month figure is the headline.
Why does the Central Bank care about inflation? Keeping inflation low and stable is the CBK’s main job. It raises the Central Bank Rate to cool high inflation and cuts it to support growth when inflation is contained, which in turn moves loan and savings rates across the economy.
Keep reading: see the Central Bank Rate history (the CBK’s main inflation tool), the best MMF rates this week to beat inflation, learn how to read an MMF rate, or start with the beginner’s guide.
Source: Central Bank of Kenya inflation rates (https://www.centralbank.go.ke/inflation-rates/), compiled from the Kenya National Bureau of Statistics Consumer Price Index. 257 months from January 2005 to May 2026; the 12-month rate is the headline measure. This page is regenerated from that data.
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