CCPI-based inflation increased to 6% in August

The headline inflation, as measured by the year-on-year (YOY) change in the Colombo Consumer Price Index (CCPI, 2013=100), increased to 6% in August from 5.7% in July. 

“This was driven by monthly increases of prices of items in both food and non-food categories,” the Central Bank said.

It said subsequently, food inflation (YOY) increased to 11.5% in August from 11% in July, while non-food inflation (YOY) increased to 3.5% in August from 3.2% in July. The CCPI, measured on an annual average basis, increased marginally to 4.3% in August from 4.2% in July.

Central Bank also said the monthly change of CCPI recorded at 0.28% in August was due to price increases observed in items of both food and non-food categories.

Moreover, monthly changes of food and non-food categories recorded at 0.21% and 0.06%, respectively. 

Within the food category, prices of fresh fish, fresh fruits, sugar and chicken increased, whereas prices of rice and coconut recorded decreased. Meanwhile, prices of items in the non-food category recorded increases mainly due to price increases observed in the health (payments to private hospitals/ nursing homes), furnishing household equipment and routine household maintenance sub-categories during the month.

The core inflation (YOY), which reflects the underlying inflation in the economy, increased to 4.1% in August from 3.7% in July. Moreover, annual average core inflation increased marginally to 3.2% in August from 3.1% in July.