Fort Portal, Arua and Kampala Cities Top Inflation -UBOS Report

Uganda Bureau of Statistics UBOS the independent body that is responsible for conducting data and statistics has revealed that Fort Portal, Arua and Kampala cities registered the highest inflation rate by the month of September, we can exclusively report.

The information was revealed by Director of Economics at UBOS Mrs Alizika Lubega while releasing the annual headline inflation at Statistics House in Kampala.
In her remarks, she says according to analysis by geographical areas and income groups, Fort portal city registered the highest inflation of 5.1% for the last 12 months compared to 6.0 % recorded in August 2023.
"The increase in inflation rates was due annual furnishings, Household Equipment and Routine Household inflation," she says. She added that Household inflation only registered 3.1% in September 2023 compared to 0.9% in August.

Mrs Lubega further revealed that in Fort Portal City annual recreation, sports and culture, inflation increased to 0.6% in September compared to -2.6% in August. The economist further said that Arua City came second in high inflation rate with 4.2% for the 12 months compared to 6.4% registered in August. She explained that the increase in inflation was driven by annual clothing and footwear that registered 4.4% in September compared to 2.9% in August. "Annual Health inflation increased to 0.7% in September from -0.7% in August," Added Mrs Lubega.

She further revealed that Kampala city was number three and annual inflation rate was at 2.0% compared to 2.5% that was recorded in August.
"The high inflation was due to annual inflation for food and non-Alcoholic Beverages that registered 6.5% in September compared to 8.8% in August." The high inflation in Kampala city was due to annual Restaurant and accommodation services that registered 3.2% in September compared to 7.2% in August. She added that other areas that registered inflation were Mbarara, Mbale, Masaka among others.

However Mrs Lubega said there was a reduction in inflation in Consumer Prices Indicies (CPI). She said the inflation reduced from 3.5% in the year ending August to 2.7% in September. "The slow down in annual inflation is largely attributed to the annual core inflation which slowed down to 2.4% in September compared to 3.3% registered in August.
She added that other that other goods where inflation slowed down were Rice from 17.8 to 5.2%, Mukene from 22.3% to 5.4%, Sugar from 43.2% to 34.0%, Maize flour from 1.0% to -3.8% among others.

The Economist added that annual service inflation also slowed down 1.6% in September compared to 2.0% in August. " This was attributed to Annual Restaurant and accommodation service inflation that decelerated to 4.2% from 5.0% in August. "There was annual inflation slow  down in food crop and related items from 9.8% in August to 7.9% in September," she sounded. Other food crops that registered slow down inflation were  dry beans from 20.1% to 8.0%, Casava fresh from 18.9% to 6.0%, Banana inflation reduced from 2.4% to -3.3% and Mangoes from 26.1% to 3.5%.

She also revealed that Energy Fuel and Utilities also registered a slow down inflation from -2.7% to -1.2% . "The reduction in inflation was due to Liquid Energy fuels inflation that reduced from -20.1% to -14.7%. She added that there was slow down inflation on Petrol from -24.5% to -17.6%, Diesel from -22.7% to -19.2% and Charcoal from 22.0% to 15.9%.

The report further indicate that there was inflation reduction in construction section which reduced from 2.0% to 1.8%. "The inflation on specialised construction activities also reduced from 1.1% to 0.7%," reads part of the report. It further say that demolition and site preparations also reduced from -7.7% to -5.7%.

The report further states that there was slow down in inflation of electrical, plumbing and other construction installation activities from 4.8% to 4.1%.The report also indicates the reduction in inflation of civil engineering and road construction from 1.4% to 1.2%. "The inflation in construction of roads and Railway also reduced from 1.0% to 0.8%," Adds the report.

However the final report shows a slow down of inflation in goods and services, there is high prices of some goods and services such as Beef,Rice, Chicken, Milk, Matooke, Irish potatoes, Petrol, Diesel, Cement among others.