Point to point inflation increased in November 2009 to 2.8% as anticipated, reflecting mainly the lower base in the corresponding month of 2008, according to a press release from the Central Bank (CB). The annual inflation rate as measured by the Colombo Consumer’s Price Index (CCPI) decelerated for the 13th consecutive month to 4.1% from 5.2% in October 2009.
Meanwhile, the CB stated that core inflation, which measures the price movement of non-food and non-energy items of the CCPI basket, stabilized at the previous month’s level of 5.1% on a point-to-point basis, while continuing its decreasing trend on an annual average basis for the sixth successive month.
According to the CB, the CCPI increased marginally by 0.8% over the previous month due to the sub category of food and non-alcoholic beverages, primarily led by the price increases in vegetables, lime, onions, garlic and coconuts. However, price declines were registered for fish and seafood, eggs, fruit, dhal and sugar.