The latest data released by the Census & Statistics Department (DCS) reveals a significant rise in the overall rate of inflation, as measured by the Colombo Consumer Price Index (CCPI) on a year-on-year basis. In January 2024, the CCPI surged to 6.4%, marking a substantial increase from the 4.0% recorded in December 2023.
During January 2024, the CCPI for all items reached 200.7, indicating a notable uptick of 5.6 index points compared to December 2023, where the index stood at 195.1. This escalation corresponds to a 2.87% change, resulting in a rise in expenditure value by Rs 5152.79 in the "Market Basket".
Of particular concern, food inflation experienced a pronounced uptick, escalating to 3.3% in January 2024 from a mere 0.3% in December 2023, as outlined by the Census & Statistics Department.
Simultaneously, the year-on-year inflation of the non-food group surged to 7.9% in January 2024, up from 5.8% in December 2023. In terms of contribution to inflation, food commodities accounted for 1.11% while non-food items contributed 5.31% to the overall inflation figure for January 2024, according to the Census & Statistics Department.
The DCS attributes this surge primarily to price increases across various sectors, including housing, water, electricity, gas & other fuels, education, clothing & footwear, alcoholic beverages, tobacco & narcotics, recreation & culture, health, and miscellaneous goods & services.
