Inflation to moderate further -CBSL

The Central Bank of Sri Lanka says that looking ahead and based on the available information, inflation is expected to moderate further.

“Inflation should stabilise around the targeted level over the medium term.”

CBSL says that this disinflation process is supported by the lagged impact of tight monetary and fiscal policies, improvements on the supply side, the softening of energy and food inflation, and the favourable base effect.

Headline inflation, as measured by the year-on-year (Y-o-Y) change in the Colombo Consumer Price Index (CCPI, 2021=100)1 decreased to 6.3% in July 2023 from 12.0% in June 2023.