Inflation up last month | Sunday Observer

Inflation up last month

5 June, 2021

Headline inflation, as measured by the year-on-year (Y-o-Y) change in the Colombo Consumer Price Index (CCPI, 2013=100), increased to 4.5 per cent in May 2021 from 3.9 per cent in April 2021. This was driven by monthly increases of prices of items in  Food and Non-food categories.

Food inflation (Y-o-Y) increased to 9.9 per cent in  May 2021 from 9.0 percent in April 2021, while  Non-food inflation (Y-o-Y) increased to 2.2 percent in May 2021 from 1.8 percent in April 2021.

The CCPI, measured on an annual average basis, remained unchanged at 3.9 per cent in May 2021. Monthly change of CCPI was recorded at 1.05 percent in May 2021 due to price increases observed in items of Food and Non-food categories.

Monthly changes of Food and Non-food categories were recorded at 0.69 percent and 0.36 percent.

Within the Food category, prices of fresh fish,  coconut oil and rice increased, whereas prices of  fresh fruits and vegetables recorded decreases. Prices of items in the Non-Food category recorded  an increase due to price increases observed in the  Health (Payments to medical laboratories, Payments to private hospitals and nursing homes  room charges) and Housing, Water, Electricity, Gas and Other Fuels (Materials for the maintenance, LP Gas) sub-categories.

The core inflation (Y-o-Y), which reflects the  underlying inflation in the economy, increased to  3.2 percent in May 2021 from 3.0 percent in April  2021.

Annual average core inflation remained unchanged at 3.0 percent in May 2021 for the fourth  consecutive month.