The cost of goods and services remained elevated in June 2025, with urban Consumer Price Index (CPI) increasing by 7 per cent year-on-year up from 6.9 per cent in May 2025, according to the National Institute of Statistics of Rwanda (NISR). The increase was largely driven by rising prices in food and non-alcoholic beverages, transport, and restaurants and hotels. ALSO READ: Food, hospitality increase May inflation According to NISR, prices of food and non-alcoholic beverages climbed by 8.7 per cent compared to June 2024. Within this category, prices of fresh products rose significantly, contributing to a 10.2 percent annual increase. Meanwhile, restaurant and hotel services saw the sharpest rise among major categories, surging by 17.8 per cent. Housing, water, electricity, gas, and other fuels rose by 3.6 per cent year-on-year, while transport costs went up by 4.4 per cent. However, on a monthly basis, urban CPI decreased by 0.2 per cent compared to May 2025, offering a slight reprieve for consumers. This drop was mainly due to a 1.5 per cent decline in food and non-alcoholic beverage prices during the month. ALSO READ: Rwanda’s producer prices up by 6.3% in May The underlying inflation rate, which excludes fresh food and energy, increased by 6.6 per cent year-on-year and by 0.3 per cent month-on-month, indicating that core inflationary pressures remain steady. In rural areas, inflation was even more pronounced. The rural CPI rose by 9.2 per cent compared to June 2024 and increased 0.1 per cent on a monthly basis, showing ongoing strain on rural households. The annual average inflation rate from June 2024 to June 2025 stood at 5.7 per cent, with the average underlying inflation rate recorded at 5.6 per cent over the same period.
