Nationwide Inflation down to 6.2%
By Mario Andree
Nationwide inflation in Sri Lanka slowed down to 6.2 per cent yearon-year during September this year from 6.7 per cent recorded in August with food inflation declining considerably though non-food inflation remained unchanged. According to the Department of Census and Statistics, food inflation which was at 11.1 per cent in August, declined to 11 per cent in September this year, while nonfood inflation remained unchanged at three per cent for the second consecutive month. The 12-month moving average inflation on the other hand, remained unchanged at 5.5 per cent for the second consecutive month in September this year.
The moving average on food items saw a decline from 9.4 per cent in August to 9.2 per cent in September, while non-food inflation rose from 2.2 per cent in August to 2.3 per cent in September this year. The National Consumer Price Index expanded to 147.5 index points in September from 147.1 index points in August, which represents an increase in expenditure value of Rs 118.62 in the ‘Market Basket’. On a year-on-year basis, the contribution of food commodities to inflation was 4.59 per cent in September 2021 compared to that of September2020, while the contribution from non-food items was 1.60 per cent.
The year-on-year non-food inflation contribution was mainly due to price increases in groups of items and services – ‘Transport’ (0.70%), ‘Health’ (0.32%), ‘Furnishing Household equipment and Routine household maintenance’ (0.22%), ‘Restaurant and Hotels’ (0.15%), ‘Clothing and Footwear’ (0.11%), ‘Housing, Water, Electricity, Gas and Other fuels’ (0.09%) ‘Miscellaneous goods and services’ (0.08%), ‘Education’ (0.03%) and ‘Recreation and Culture’ (0.02%). However, price decreases in a group of items was reported in ‘Alcoholic beverages, Tobacco and Narcotics’ (0.13%). Meanwhile, the group of ‘Communication’ remained unchanged during the period.