The National Institute of Statistics of Rwanda (NISR) is issuing a new Consumer Price Index (CPI) beginning in June 2017. The new CPI has weights based on the fourth Household Income and Expenditure Survey (EICV4) conducted in 2013/2014 replacing those for EICV3 conducted in 2010/1011. The index reference period remained unchanged (February 2014).
June inflation is 4.8 percent down from 6.5 percent recorded in May 2017. The pressure of the June inflation is reduced by Food and non-alcoholic beverages’ of 9.8 percent down from 14.3 percent recorded in May 2017.
1. Notable changes in weights
The New Urban CPI shows a decrease in weights of Food and non-alcoholic beverages by 1%, ‘Housing, water, electricity gas and other fuels’ by 2%, Transport by 5%, Education 3% and an increase of 5% of Restaurants and hotels.
The Rural CPI shows a decrease in weights of Food and non-alcoholic beverages by 5%, ‘Housing, water, electricity gas and other fuels’ by 2%, Education 1% and an increase of 2% of Restaurants and hotels.
The all Rwanda CPI shows a decrease in weights of Food and non-alcoholic beverages by 5%, ‘Housing, water, electricity gas and other fuels’ by 2%, Education 2% and an increase of 3% of Restaurants and hotels.
2. Urban CPI
The new Urban CPI increased by 4.8 percent on annual basis. This is mainly due to the rising prices of ‘Food and non-alcoholic beverages’ 9.8 percent, ‘Housing, water, electricity, gas and other fuels’ 1.5 percent and ‘Transport’ 4.6 percent.
The monthly Urban CPI decreased by 0.8 percent in June 2017. This is mainly due to ‘Food and non-alcoholic beverages’ which decreased by 2.0 percent.
3. Rural CPI
The new Rural CPI increased by 11.8 percent on annual basis. This is mainly due to the rising prices of ‘Food and non-alcoholic beverages’ 15.5 percent.
The monthly Rural CPI decreased by 1.2 percent in June 2017. This is mainly due to ‘Food and non-alcoholic beverages’ which decreased by 3.7 percent.
4. All Rwanda CPI
The new all Rwanda CPI increased by 9.4 percent on annual basis. This is mainly due to the rising prices of ‘Food and non-alcoholic beverages’ 14.4 percent and ‘Housing, water, electricity, gas and other fuels’ 1.9 percent
The monthly all Rwanda CPI decreased by 1.0 percent in June 2017. This is mainly due to ‘Food and non-alcoholic beverages’ which decreased by 3.2 percent.
5. Old and new CPI trend
The June inflation is the same (4.8%) for both new and old CPI however, they differ in the details due to changes in the weights.
For more details, visit http://www.statistics.gov.rw/statistical-publications/subject/consumer-price-index-(cpi)
Done at Kigali, 10th July 2017
Yusuf MURANGWA
(SE)
Director General
