CCPI based inflation increased to 4.2-pct in July

Aug 01, 2020 (LBO) – Headline inflation as measured by the year-on-year change in the Colombo Consumer Price Index increased to 4.2 percent in July from 3.9 percent in June, data from the statistics office showed.

This was mainly driven by the monthly increase of prices of items in the Non-food category along with the statistical effect of the low base prevailed in July 2019.

Food inflation (Y-o-Y) increased to 10.9 percent in July 2020 from 10.0 percent in June 2020. Further, Non-food inflation (Y-o-Y) also increased marginally to 1.5 percent in July 2020 from 1.4 percent in June 2020.

The change in the CCPI measured on an annual average basis also increased marginally to 4.8 percent in July 2020 from 4.7 percent in June 2020.

The core inflation (Y-o-Y), which reflects the underlying inflation in the economy, increased marginally to 3.2 percent in July 2020 from 3.1 percent in June 2020.

However, annual average core inflation declined further to its sixteen months low of 4.0 percent in July 2020 from 4.2 percent in June 2020.