Headline inflation, as measured by the year-on-year (Y-o-Y) change in the Colombo Consumer Price Index (CCPI, 2013=100), remained unchanged at 4.0 per cent in October 2020 due to the statistical effect of the high base prevailed in October 2019. Meanwhile, Food inflation (Y-o-Y) decreased to 10.0 per cent in October 2020 from 11.5 per cent in September 2020, whereas Non-food inflation (Y-o-Y) increased to 1.3 per cent in October 2020 from 0.9 per cent in September 2020.
The change in the CCPI measured on an annual average basis decreased marginally to 4.6 per cent in October 2020 from 4.7 per cent in September 2020.
Monthly change of CCPI recorded at 0.1 per cent in October 2020. This was mainly due to price increases observed in items of the Food category. Accordingly, within the Food category, prices of big onion, rice and turmeric powder increased in October 2020. However, prices of fresh fruits, chicken and eggs recorded declines during the month.
The core inflation (Y-o-Y), which reflects the underlying inflation in the economy, increased marginally to 3.0 per cent in October 2020 from 2.9 per cent in September 2020. However, annual average core inflation declined to 3.4 per cent in October 2020 from 3.6 per cent in September 2020.