Inflation Rate Remains Stable in September

The annual inflation rate, measured by the consumer price index, stands at 3% for the 12 months ending in September 2024, down from 3.5% in August 2024.

Uganda's monthly headline inflation for September 2024 increased by 0.2%, maintaining the same rate recorded in August 2024.

According to Edgar Niyimpa, principal statistician at the Uganda Bureau of Statistics (UBOS), consumers are encouraged to substitute items experiencing rapid price increases with alternatives that have more stable prices.

The annual inflation rate, measured by the consumer price index, stands at 3% for the 12 months ending in September 2024, down from 3.5% in August 2024.

This decline indicates that the macroeconomic target set by the Bank of Uganda, which aims to keep inflation below 5%, continues to be met.

Officials from UBOS attributed this stable inflation rate to a rise in monthly core inflation, which increased by 0.2% in September, compared to a 0.1% increase in August.

In terms of other goods, inflation recorded a monthly rate of 0.2% in September, a slight decrease from 0.3% in August.

Notably, inflation for Electricity, Fuel, and Utilities surged to 1.4% in September, up from -0.3% in the previous month.

This increase was primarily driven by rising prices of charcoal, which jumped from 0.4% in August to 5.7% in September.

Water charges also saw a rise from 0.0% in August to 1.9%, while firewood prices increased from 0.2% to 0.8%.

Niyimpa highlighted significant price changes for various food items. The price of Matooke soared from 1.2% in August to 35.2% in September.

Similarly, watermelon prices increased from 3.6% to 17.7%, and Irish potatoes rose from 2.7% to 3.2%.

Experts recommend that consumers adjust their spending habits in response to these price changes.

"Spend your money accordingly; for items whose prices have increased and have substitutes, purchase the cheaper alternatives," advised Niyimpa.