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Colombo Consumer Price inflation increased to 4.1-pct in March with low base effect

Headline inflation, as measured by the year-on-year (Y-o-Y) change in the Colombo Consumer Price Index increased to 4.1 percent in March 2021 from 3.

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3 percent in February 2021.

This was due to the statistical effect of the low base prevailed in March 2020, the Statistics Department said.


Meanwhile, Food inflation (Y-o-Y) increased to 9.6 percent in March 2021 from 7.9 percent in February 2021. Further, Non-food inflation (Y-o-Y) increased to 1.8 percent in March 2021 from 1.


3 percent in February 2021.

The change in the CCPI measured on an annual average basis decreased to 4.0 percent in March 2021 from 4.1 percent in February 2021.

Monthly change of CCPI recorded at -0.18 percent in March 2021. This was due to price decreases observed in items of the Food category.

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Moreover, monthly changes of Food and Non-food categories recorded at -0.49 percent and 0.31 percent, respectively, in March 2021.

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Accordingly, within the Food category, prices of vegetables, green chilli, fresh fish and turmeric powder decreased in March 2021.

Meanwhile, prices of items in the Non-Food category recorded an increase during the month mainly due to price increases observed in the Restaurant and Hotels sub-category.

The core inflation (Y-o-Y), which reflects the underlying inflation in the economy, increased to 3.

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1 percent in March 2021 from 2.
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6 percent in February 2021. Meanwhile, annual average core inflation remained unchanged at 3.0 percent in March 2021.

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