Former Kenyatta International Convention Centre (KICC) chair Irungu Nyakera has challenged the government’s repeated assurances that inflation is under control, arguing that official figures mask the real economic pressure facing Kenyan households.
In a statement shared on X, Nyakera said government officials often cite a headline inflation rate of 4.5 per cent while downplaying non-core inflation, which currently stands at 10.3 per cent.
He noted that non-core inflation reflects the prices of essentials such as food, transport, cooking gas, and electricity—costs that directly affect day-to-day survival for most Kenyans.
“Most households live hand to mouth, and non-core inflation is the inflation people actually feel,” Nyakera said, warning that rising prices of basic goods mean families are paying more just to get by.
He further argued that the government’s focus on low core inflation, estimated at 2.2 per cent, does not signal economic health.
According to Nyakera, low core inflation suggests a slowing economy, with reduced consumer spending due to shrinking incomes and limited cash circulation.
“When incomes are under pressure, people spend less. That is why the economy feels weak,” he said, linking subdued spending to broader economic stagnation.
Nyakera criticised what he described as a disconnect between official economic messaging and lived reality, stating that households cannot “cook or eat inflation figures.”
He urged policymakers to move beyond statistical reassurance and address structural challenges affecting earnings and purchasing power.
His remarks come amid sustained public concern over the high cost of living, with food and energy prices remaining elevated despite easing headline inflation.
Economists have similarly warned that while overall inflation may be moderating, persistent pressure on essential goods continues to strain households.
Nyakera called on the government to prioritise policies that stimulate income growth and restore consumer confidence, arguing that a functioning economy depends on citizens’ ability to earn, spend, and participate meaningfully in economic activity.