Transport and Accommodation pushes inflations to 4.0% for July 2024: UBOS Report.

Transport and Accommodation pushes inflations to 4.0% for July 2024: UBOS Report

The Uganda Bureau Of Statistics (UBOS) report for the ending July 2024 has indicated an increase in the Annual Inflation registered at 4.0% compared to the rate in the year ending June 2024.

This according to UBOS report has been attributed to core inflation rise of up to 4.0% from 3.8 registered in June 2024 mainly driven by services of transport and accommodation.

“Annual Inflation as measured by the Consumer Price Index for Uganda for the 12 months to July 2024 is registered at 4.0 percent compared to 3.9 percent registered in the year ended June 2024. This is largely attributed to the Annual Core Inflation recorded at 4.0 percent in the year ending July 2024 compared to 3.8 percent registered in the year ended June 2024. The main driver to Annual Core Inflation was the Annual Services Inflation registered at 6.5 percent in the year ending July 2024 compared to 6.1 percent registered in the year ended June 2024” the report partly reads.

While presenting the inflation rates to the media on 31st July 2024 at the UBOS conference room, The Head of department, Macro-economic statistics Mr. Echoku Sam said that the increase in the inflation rate was driven mainly by Passenger transport services Inflation that increased to 8.2 percent in the year ending July 2024 compared to 7.0 percent registered in the year ended June 2024.

He said that accommodation services inflation also increased to 4.8 percent in the year ending July 2024 compared to 4.4 percent registered in the year ended June 2024 followed by Recreation, sports and culture services inflation increased to 7.2 percent in the year ending July 2024 compared to 5.8 percent registered in the year ended June 2024.

Other drives according to the report included Annual Other Goods Inflation due to the prices of Secondhand vehicles, Refined Oil prices while Annual Food Crops and Related Items Inflation also increased.

On the side of monthly inflation rates between July and June in 2024 the headline Inflation for July 2024 recorded 0.0 percent the same rate registered for the month of June 2024, however, the monthly Food Crops and Related Items Inflation decreased mainly due to monthly Vegetables, Tubers, Plantains, Cooking Bananas and Pulses Inflation that decreased by 1.8 percent in July 2024 the same rate recorded in June 2024 focused on Cooking bananas prices, and Onions prices

Based on the Geographical Centers in different areas of Uganda, revealed that “Kampala High Income Group registered the highest inflation at 5.4 percent for the year ending July 2024 compared to 5.2 percent recorded in June 2024. This was mainly driven by an increase in Annual 'Food and NonAlcoholic Beverages' inflation and Annual 'Transport' inflation”

The report shows that in the second position was registered in Fortportal Centre due to Annual 'Housing, Water, Electricity, Gas and Other Fuels' inflation that increased to 6.5 percent in July 2024 compared to 2.6 percent registered in June 2024.