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Inflation Eases With Fall in Paraffin Price.
(From The Nation (Kenya) - AAGM)
Byline: Washington Akumu
Inflation eased last month owing to a fall in the price of paraffin and electricity.
According to an update by Mr Silas Opiyo, the acting director of statistics, the month's inflation fell from 14.9 to 13.7 per cent.
The overall Consumer Price Index (CPI), which tracks the movement in the prices of key basic commodities for typical households, rose by a low 0.2 per cent from 153.6 points in May 2003 to 153.9 points in June.
The lower prices for paraffin and electricity saw the Power and Fuel CPI fall by the highest margin of all the categories at 2.4 per cent.
Electricity was cheaper in real terms because of a reduction in Value Added Tax (VAT) besides fuel and foreign exchange adjustment costs.
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