By Benadeta Mwaura - Reporter
Kenya, 31 July 2026 - While Kenya's inflation rate has climbed to a two-year high of 6.5%, the bigger concern for millions of households is not the overall figure itself but the specific items that are becoming increasingly expensive every month.
For most families, the cost-of-living crisis is no longer measured by economic indicators released by the Kenya National Bureau of Statistics (KNBS). Instead, it is reflected in the amount of money spent on transport, electricity, food and rent at the end of every month.
According to the latest KNBS figures, food and non-alcoholic beverages, transport, and housing-related expenses remain the biggest drivers of inflation. Together, these items account for more than half of household expenditure in Kenya.
The latest data show that several essential commodities are continuing to rise in price, with consumers expected to feel the effects throughout August.
Among the commodities that have recorded the sharpest increases are:
- Beef
- Potatoes
- Mangoes
- Electricity
- Public transport services
- House rent
- Building materials
- Water and utility services
Although tomatoes, carrots, sifted maize flour and cooking gas registered slight declines during the period under review, economists argue that the reductions are too small to offset the overall rise in living expenses.
Electricity costs have emerged as one of the biggest concerns for households.
The increase is being attributed to a combination of factors, including higher fuel costs, foreign exchange adjustments and increased transmission expenses. Rising fuel prices have also affected electricity generation costs, particularly in periods when thermal power plants are used to supplement hydroelectric production.
For households already struggling with rising food prices, higher electricity bills mean additional pressure on monthly budgets.
Transport remains the single biggest contributor to inflation, having increased by 15.6% over the past year.
When transport costs rise, the effects are felt throughout the economy because nearly every commodity depends on transportation. Farmers spend more money transporting produce to markets, manufacturers incur higher distribution costs and retailers eventually pass those expenses on to consumers.
The result is a chain reaction in which consumers end up paying more for virtually every product they purchase.
Rent, electricity, water charges and construction materials are also becoming increasingly expensive.
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Recently, the Kenya National Bureau of Statistics reported that construction costs had increased by 5.73%, the sharpest rise in four years. Rising fuel prices and higher transport charges have significantly increased the cost of cement, steel and other building materials.
Landlords have also cited rising maintenance expenses as one of the reasons for increasing rental charges in many urban centres.
For the average family, the monthly budget has become increasingly difficult to manage.
A commuter spends more on transport. A parent spends more on food. Electricity bills rise. Rent increases. School expenses remain unchanged, while incomes often fail to keep pace with rising costs.
The situation is particularly difficult for lower-income households because food alone accounts for almost one-third of total household expenditure.
This means that even relatively small increases in the prices of meat, vegetables and cereals have a disproportionately large effect on millions of families.
Economists warn that the situation may worsen if international oil prices continue to rise, especially given continuing tensions in the Middle East and disruptions in global shipping routes.
Unpredictable weather patterns could also affect agricultural production, placing additional pressure on food prices.
For now, however, many households have already started adjusting their spending habits by reducing non-essential purchases, substituting expensive commodities with cheaper alternatives and postponing major investments.
Ultimately, the inflation debate is no longer merely about statistics.
It is about the price of a kilogramme of potatoes, the cost of electricity, the fare paid to work each morning and whether a family can still afford the basic necessities that once seemed ordinary.