Headline inflation increased in December 2023
Colombo (LNW): The December 2023 headline inflation gauged by the year-on-year (Y-o-Y) alteration in the Colombo Consumer Price Index (CCPI, 2021=100) recorded a rise to 4.0 per cent, up from 3.4 per cent in November 2023.
This escalation in headline inflation aligns closely with the forecasts made by the Central Bank of Sri Lanka (CBSL) in November 2023.
After five months of continuous deflation, the Food category recorded inflation (Y-o-Y) of 0.3 per cent in December 2023 from 3.6 per cent deflation (Y-o-Y) recorded in November 2023, the report added.
Meanwhile, the Non-Food inflation (Y-o-Y) declined to 5.8 per cent in December 2023 from 6.8 per cent in November 2023.
Monthly change of CCPI recorded 0.89 per cent in December 2023 due to the combined effect of price increases of 1.16 per cent observed in items of Food category and price decreases of 0.27 per cent observed in the items of Non-Food category.
The core inflation (Y-o-Y), which reflects the underlying inflation in the economy, decreased to 0.6 per cent in December 2023 from 0.8 per cent in November 2023.
