The National Institute of Statistics of Rwanda (NISR) has reported a 5.7% increase in the Consumer Price Index (CPI) for January 2025 compared to the same month in 2024. On a monthly basis, the index decreased by 1.6% from December 2024.
Urban inflation remains a key concern, with prices rising by 7.4% annually and 0.5% monthly. In contrast, rural areas experienced a more modest annual increase of 4.5% but saw a significant 2.9% drop in prices from December.
The largest price increases were recorded in the transport sector, which surged by 18.5% over the past year, while meat prices jumped by 30.7%. Restaurants and hotels saw a 9.5% rise, and the cost of milk, cheese, and eggs increased by 9.6%. Education costs also climbed by 8.4%. Meanwhile, vegetable prices recorded a notable monthly decrease of 4.5%, helping to moderate overall inflation.
Core inflation, which excludes volatile items such as fresh food and energy, rose by 6.2% on an annual basis and 0.8% compared to December. Imported goods also contributed to inflationary pressures, with prices increasing by 6.8%.
The latest inflation figures highlight growing cost pressures, particularly in urban areas, which could influence future monetary policy decisions. The government and economic analysts will closely monitor the trend to assess potential interventions aimed at stabilizing prices and protecting consumer purchasing power.
