It was only some episodes in 1997, 2003 and 2005 that inflation rose above the 10 percent level, mainly due to the world oil prices increasing after the genesis of the gulf war, supply constraints after the closure of the sugar factories among others, and periods of elongated drought. Figure 1 maps the inflation profile.
The domestic food crop prices, as reported by the Uganda Bureau of Statistics, rose mainly due to seasonal factors, poor harvest, substitution effect and high domestic and regional demand.