February inflation shoots up to 6.2%

Headline inflation as measured by the year-on-year (YoY) change in the Colombo Consumer Price Index increased to 6.2 percent in February 2020 from 5.7 percent in January 2020. 

This was solely driven by the statistical effect of the low base that prevailed in February 2019. 

Food inflation (YoY) stood at 14.7 percent in February 2020, while non-food inflation (YoY) recorded at 2.8 percent. 

The change in the CCPI measured on an annual average basis increased to 4.6 percent in February 2020 from 4.5 percent in January 2020. 

Monthly change of CCPI was recorded at 0.0 percent in February 2020. Setting off the price effects of items in the food category, which declined by 0.2 percent, the prices in non-food category increased by the same margin.

Within the food category, prices of vegetables, rice, big onions, potatoes, sea fish and red onions recorded decreases in February 2020. 

However, prices of items in the non-food category recorded increases during the month owing to price increases of the items in transportation (airline fair); clothing and footwear; and recreation and culture sub-categories. 

The core inflation, which reflects the underlying inflation in the economy, increased to 3.2 percent in February 2020 from 3.0 percent in January 2020 on YoY basis. 

However, the annual average core inflation decreased to 5.1 percent in February 2020 from 5.3 percent in January 2020.