April inflation rises to 29.8%; food inflation soars to 46.6%

Headline inflation, as measured by the year-on-year (YoY) change in the Colombo Consumer Price Index (CCPI, 2013=100)1 increased to 29.8% in April 2022 from 18.7% in March 2022. 

Central Bank said this increase in YoY inflation was driven by the monthly increases of both Food and Non-Food categories. Subsequently, Food inflation (YoY) increased to 46.6% in April 2022 from 30.2% in March 2022, while Non-Food inflation (YoY) increased to 22.0% in April 2022 from 13.4% in March 2022.

Monthly change of CCPI recorded at 9.25% in April 2022 due to price increases observed in items of both Non-Food and Food categories which were 4.95% and 4.31%, respectively. Accordingly, prices of items in the Non-Food category recorded increases mainly due to price increases observed in the transport (petrol and diesel), education (tuition fees), housing, water, electricity, gas, and other fuel (housing rent, maintenance/reconstruction) and restaurant and hotels sub-categories. Further, within the Food category, increases were observed in prices of milk powder, rice, bread, dhal, sugar and dried fish during the month.

The annual average inflation rose to 11.3% in April 2022 from 9.1% in March 2022.

CBSL also said the core inflation (YoY), which reflects the underlying inflation in the economy increased to 22.0% in April 2022 from 13.0% in March 2022, while annual average core inflation increased to 8.1% in April 2022 from 6.5% in March 2022.