Sri Lanka’s inflation rose to 60.8% in July, from 54.6% in June, as food and fuel remained scarce amid dwindling forex reserves, the beleaguered country’s statistics department said on Saturday.
The annual inflation based on the Colombo Consumer Price Index stood at 60.8% in July, the Census and Statistics Department said in a statement.
It was 54.6% in June.
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Year-on-year food inflation in July is up 90.9 from 80.1% in June.
The country’s central bank has said that inflation could peak at 75%.
Sri Lankans have faced a shortage of essential commodities amid the ongoing economic slowdown, the worst since 1948.
Till the middle of this month, there was acute shortage of LPG with long lines for refills.
The situation has now become easier with multiple shipments arriving.
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However, miles-long fuel queues can still be seen.
The country is negotiating a bailout package with the International Monetary Fund (IMF). However, talks with the IMF have barred the need for debt restructuring.
President says talks with IMF progressing
President Ranil Wickremesinghe’s office said in a statement on Friday that talks with the IMF are progressing.
Political talks are underway to form an all-party government to achieve political stability following the recent turmoil in the country, the statement said.
Sri Lanka has seen widespread unrest over the worst economic crisis in months, with the government declaring bankruptcy in mid-April by refusing to honor its international debt.
led protests in the country Gotabaya Rajapaksa will leave the country And resign from the presidency.
The former Rajapaksa administration is accused of complicating the economic crisis.