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Wednesday, 2 June 2010

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Inflation drops for third month

Inflation, as measured by the Colombo Consumers’ Price Index (CCPI) (2002=100), computed by the Department of Census and Statistics, decreased to 5.3 per cent in May from 5.8 per cent in April 2010 on the point-to-point basis.

This was the third consecutive month in which the Index registered a decline. However, the annual average inflation increased marginally to 3.6 per cent in May from 3.4 per cent in April 2010.

The CCPI increased by 1.6 per cent in May, 2010 over the previous month, with the Index increasing in absolute terms from 212.6 to 215.9.

The contribution to the monthly increase in the Index originated mainly from price increases in the sub category of Food and non-alcoholic beverages (2.3 per cent). Increase in prices of some varieties of vegetables and fish due to the lower supply resulting from bad weather conditions was the main contributory factor for the upward movement in the sub index.

 

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