The Central Bank of Sri Lanka (CBSL) anticipates that deflationary trends will continue in the coming months before inflation gradually aligns with the medium-term target of 5.0 percent. Administratively determined price cuts and improved supply conditions are expected to keep consumer prices under downward pressure. In September, Sri Lanka experienced its first dip in consumer
In August 2024, Sri Lanka’s national consumer prices eased to 1.1% year-on-year, down from 2.5% in July. This significant deceleration was driven primarily by declining food prices and reduced electricity tariffs, offering financial relief to consumers. On a month-to-month basis, consumer prices fell by 1.4% in August, accelerating from the 0.6% decline recorded in July.
National consumer prices in Sri Lanka saw a slight increase in July, rising by 2.5% compared to the same month last year. This marks a modest uptick from the 2.4% increase observed in June, as the high base effects from the previous year began to dissipate. Despite this year-on-year rise, prices for many food and