Tag:inflation

This slump is largely attributed to domestic unrest, contractionary monetary and fiscal policies, and a broader climate of uncertainty that has discouraged both foreign and domestic investment.

This decrease was primarily driven by a significant drop in food and beverage prices, with vegetable prices entering negative territory for the first time in 20 months.

By establishing dedicated police stations, enforcing strict regulations, and enhancing monitoring mechanisms, the government aims to protect consumers from exploitation while ensuring market stability.

With vegetable inflation exceeding 40 per cent, consumers face the brunt of soaring costs, while weak market monitoring and governance exacerbate the issue.

Sri Lanka’s central bank embraced deflationary measures that allowed currency appreciation and restored external stability. Critics argue, however, that these gains may be short-lived without structural reforms and tighter inflation targets.

Highlighting positive economic indicators, the Prime Minister noted that the reduction in the policy rate would provide much-needed relief to businesses and investors.

Vegetable oils drove the November increase, with prices soaring 7.5 per cent, marking their highest level in over two years.

The President revealed that the government had successfully recouped MVR 3.1 billion from various parties, contributing to a reduction in the overall national debt.