Sri Lanka’s inflation increased to 6.2-pct in December

inflation-dec-2019

Jan 22, 2020 (LBO) – Sri Lanka’s headline inflation as measured by the year-on-year change in the National Consumer Price Index increased to 6.2 percent in December 2019 from 4.1 percent in November 2019.

According to the Central Bank, this was driven by monthly increase of prices of items in the Food category along with the statistical effect of the low base prevailed in December 2018.

Food inflation increased substantially to 8.6 percent in December 2019 from 4.0 percent in November 2019, while Non-food inflation remained unchanged at 4.2 percent.

The change in the NCPI measured on an annual average basis increased to 3.5 percent in December from 3.0 percent in November.

Monthly change of NCPI recorded at 1.6 percent in December and it was solely due to the price increases observed in the items of the Food category caused by adverse weather conditions prevailed during December.

The core inflation, which reflects the underlying inflation in the economy, decreased to 5.2 percent in December from 5.5 percent in November on a year-on-year basis.

However, annual average core inflation increased to 5.7 percent in December from 5.6 percent in November.