Sri Lanka recorded its steepest price increases in 14 months in September, as costs rose for food, healthcare, and education. The statistics office reported annual inflation reached 1.5 percent compared with 1.2 percent the previous month and a 0.5 percent decline one year earlier. Food expenses surged 2.9 percent while other goods rose just 0.7 percent.
The central bank anticipates further increases through December, which could bring the rate to the 5 percent target. Prices peaked at 69.8 percent three years ago when the nation depleted foreign reserves needed for basic imports during its most severe economic downturn. Stability returned after securing a 2.9 billion dollar International Monetary Fund rescue package in early 2023 and restructuring international debt obligations.
The central bank anticipates further increases through December, which could bring the rate to the 5 percent target. Prices peaked at 69.8 percent three years ago when the nation depleted foreign reserves needed for basic imports during its most severe economic downturn. Stability returned after securing a 2.9 billion dollar International Monetary Fund rescue package in early 2023 and restructuring international debt obligations.
