Rising Transport Costs Force Kenyans to Reduce Household Spending, New PMI Report Reveals

According to the latest Stanbic Bank PMI, Kenyans reduced spending in May 2026 due to inflation-driven price increases, especially in transport and fuel costs. Economist Christopher Legilisho attributed the tightening of household budgets to consumer caution amid rising prices. Private sector activity contracted sharply, with new sales falling for the third consecutive month, most pronounced in construction and services. Businesses raised output prices at the fastest rate in two and a half years to protect profit margins.