Sri Lanka NCPI inflation flat at 6.3 pct in July

Aug 22, 2017 (LBO) - Sri Lanka's National Consumer Price Index (NCPI) remained flat at 6.3 percent in July, compared with the figure in June, on an year-on-year basis. Contributions to inflation from food group and nonfood group items in July 2017 were 3.7 percent and 2.6 percent respectively. The index decreased to 122.4 from 123.4 reported for June 2017 due to the decrease of expenditure value of food items by 0.90 percent and increase of expenditure value of non-food items by 0.06 percent. The increase in expenditure value of non food items in July 2017 compared to the previous month was due to the increases in ‘Transport’, ‘Miscellaneous Goods and Services’, ‘Alcoholic beverages, Tobacco and Narcotics’, ‘Furnishing, Household equipment and Routine household maintenance’ and ‘Clothing and Footwear’. ‘Restaurant and Hotels' recorded very slight expenditure value increase compared to the preceding month. However, decreases were reported for ‘Health’ compared to the previous month of June 2017. The expenditure value of ‘Housing, Water, Electricity, Gas and Other fuels’, ‘Communication’, ‘Recreation & Culture’ and ‘Education’ groups remained unchanged during the month. The decrease in food item prices was due to the price decreases in vegetables, fresh fish, coconuts, mysore dhal, red onions, big onions, green chilies, coconut oil and garlic. Increases in prices were reported for rice, sprats(dry), eggs, banana and tea.