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Sri Lanka to change price index basket next year

Dec 19, 2009 (LBO) - Sri Lanka will change the basket of goods in its most widely watched price index from next year and re-base it to reflect consumption patterns of a newer survey, an official said.
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The revised index itself was made 'official' suddenly at the height of an inflation bubble in April 2008, when consumer prices hit 29.
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9 percent under an older index, the highest ever.
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Bad Governance

Changing consumption baskets in the middle of high inflation bubbles is a sign of bad governance and money printing governments.

Zimbabwe's Central Statistics Office also stopped its index in the previous year after reporting 3,750 percent inflation in April.

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Sri Lanka's statistics office also stopped a countrywide price index saying the numbers were 'politicized', though Sri Lanka is not a one party state yet but a multi-party democracy.


A Reuters news agency report on July 13, 2007 said Zimbabwe's statistics office was working on a one year survey to find out whether the data was "an accurate reflection of the situation in Zimbabwe.

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"That's just one aspect of what we're doing ... we are also coming up with a new basket. Both are a long way off and I'm reluctant to giv

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