Food prices to keep Kenya’s inflation above CBK target

A shopper at a supermarket in Nyeri. Runaway food prices have sent inflation soaring. FILE PHOTO | NMG

Kenya’s inflation is likely to remain above the upper limit of the government’s target this year on lingering effects of the higher food costs, analysts have projected.

Economists at Citi Research say the Central Bank of Kenya will struggle to reverse average overall inflation to below 7.5 per cent because of the runaway prices of food, which monetary policy has little control over.

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