Rwanda’s inflation rises to 13.6% in June

According to the latest Consumer Price Index (CPI) report released by the National Institute of Statistics of Rwanda (NISR), the Urban CPI, the country’s headline measure for monetary policy, increased by 0.4% on a monthly basis, while the annual average inflation rate for the 12 months to June stood at 9.3%.

Transport, which has been affected by rising fuel prices stemming from the Middle East crisis, remained one of the biggest drivers of inflation. Transport costs rose 26.0% compared with June last year and increased 1.2% over the previous month. Housing, water, electricity, gas and other fuels also continued to exert pressure on household budgets, recording a 20.5% annual increase and a 0.7% monthly rise.

Healthcare prices posted the sharpest annual increase among major consumer spending categories, soaring 71.2% year-on-year, while restaurants and hotels became 15.9% more expensive. Alcoholic beverages, tobacco and narcotics also recorded a 13.0% annual increase.

Food and non-alcoholic beverages, which account for the largest share of household spending, increased 7.5% annually despite declining 0.3% from May. Within the category, vegetable prices rose 13.1% year-on-year, matching the increase recorded for meat, while non-alcoholic beverages rose 9.4%.

The Energy Index remained elevated, increasing 44.8% annually, while the Local Goods Index rose 14.7%, outpacing the 10.5% increase recorded for imported goods. Fresh products increased 9.1% over the year.

Core inflation, which excludes fresh food and energy, stood at 12.3%, indicating that underlying price pressures remain strong across the economy. The annual average inflation rate over the past 12 months was 9.3%.

In rural areas, annual inflation reached 12.1%, with consumer prices increasing 0.4% over the previous month. Nationally, the Overall Rwanda Consumer Price Index rose 12.7% compared with June 2025 and also increased 0.4% on a monthly basis.

The NISR compiles the Consumer Price Index using prices collected for approximately 1,622 products across Rwanda. Every month, the institute gathers more than 29,482 price observations in urban areas and 10,744 in rural areas from markets, shops, schools, hospitals and other outlets.

The Urban CPI remains the principal inflation indicator used by the National Bank of Rwanda (BNR) to assess price stability and guide monetary policy decisions.