Sri Lanka’s July inflation hits 6-month high

Sri Lanka’s inflation measured by the Colombo Consumer Price Index (CCPI) accelerated to a sixmonth high of 5.4 percent during the 12 months to July, up sharply from 4.4 percent in June, largely due to the base effects and higher food prices.

Sri Lanka’s inflation mostly hovered in the mid-single-digit levels so far this year, easing from the high-single-digit levels most of last year, mainly due to the supplyside disruptions caused by the prolonged drought and floods, which destroyed most of the key crops.

After easing to 3.8 percent this April, from a high of 5.8 percent they reached in January, the prices have again been on a rising trend.

Meanwhile, on a monthon-month (MOM) basis, the headline inflation expanded by 0.3 percent.