Saturday, November 1, 2008

Uganda's yr-on-yr inflation falls to 14.5 percent

KAMPALA (Reuters 31 oct. 2008) - Uganda's annual inflation rate fell to 14.5 percent in October from 15.2 percent in the previous month after a drop in food price inflation, the Uganda Bureau of Statistics said on Friday.

"The annual headline inflation rate for the year ending October 2008 dropped further to 14.5 percent from 15.2 percent in September and 15.8 percent in August 2008," it said.

"The main inflation driver remained food."

Food inflation decreased to 29.1 percent in October from 30.7 percent in September, the bureau said in a statement.

Uganda's core inflation, which excludes food crop items, fuel, electricity and metered water, fell to 13.1 percent from 13.5 percent in September, it said.

Soaring global food and fuel prices have hit all of east Africa's major economies -- Kenya, Tanzania and Uganda -- with inflationary pressures this year.

Uganda's inflation rate is measured by surveys taken in the first two weeks of each month.