Colombo's inflation experienced a slight increase in October, according to the latest report from the Department of Census & Statistics (DCS).
The year-on-year (Y-o-Y) overall rate of inflation, as measured by the Colombo Consumer Price Index (CCPI), rose to 1.5% in October 2023, up from 1.3% in September 2023.
The report highlighted that the Y-o-Y inflation for the food group remained unchanged at -5.2% in both October and September. However, the Y-o-Y inflation for the non-food group saw a slight increase, reaching 4.9% in October compared to 4.7% in September.
Analyzing the contributions to inflation in October 2023, the DCS noted that food commodities had a negative contribution of -1.76%, while non-food items contributed positively with 3.25%. This significant contribution from non-food items was primarily driven by value changes in various categories, including housing, water, electricity, gas & other fuels, education, clothing & footwear, alcoholic beverages, tobacco & narcotic, recreation & culture, health, miscellaneous goods & services, and communication.
On the other hand, there was a decrease in value change reported for the groups of furnishing household equipment & routine household maintenance, restaurants & hotels, and transport, according to the DCS.
The marginal increase in Colombo's inflation in October indicates a moderate upward trend in prices. The DCS report provides valuable insights into the specific categories that contributed to this increase, shedding light on the factors influencing the overall inflation rate.
