Inflation in Rwanda continued its upward trend in May 2025, driven largely by rising food prices and higher costs in the hospitality sector, according to the latest data from the National Institute of Statistics of Rwanda (NISR).

The urban Consumer Price Index (CPI), which serves as the main measure of inflation, climbed 6.9 percent compared to the same period last year. The increase was largely fueled by surging prices in food and non-alcoholic beverages, as well as in restaurants and hotels.

Food and non-alcoholic beverages recorded a 9.2 percent year-on-year rise, with meat prices soaring by 32.5 percent and dairy products—such as milk, cheese, and eggs—increasing by 7.7 percent. Meanwhile, prices in the hotels and restaurants sector jumped 16.6 percent over the same period. The education sector also saw an 8.3 percent increase.

Other consumer categories also experienced significant price hikes. Alcoholic beverages, tobacco, and narcotics saw a 7.5 percent increase year-on-year, while transport services recorded a 3.7 percent rise, highlighting continued inflationary pressures across key sectors.

On a monthly basis, the urban CPI rose by 0.6 percent in May. The annual average inflation rate for the period between May 2024 and May 2025 stood at 5.5 percent. Underlying inflation, which excludes fresh food and energy prices, increased by 6 percent year-on-year and 1.1 percent month-on-month.

At the national level, the overall CPI increased by 7.7 percent year-on-year, while remaining stable compared to April 2025. In rural areas, inflation rose by 8.2 percent year-on-year but declined slightly by 0.4 percent month-on-month, indicating some relief in rural price pressures.