Connect with us

Hi, what are you looking for?


Inflation rate hikes up to 70.2% in Srilanka

As it battles its worst economic crisis in more than 70 years, Sri Lanka’s annual inflation rate increased to more than 70% in August.
Additionally, according to official data, food costs increased 84.6% from a year earlier.

The 22 million-person South Asian nation descended into political and economic anarchy this year due to a lack of foreign money.
The nation has struggled to pay for essential imports like petroleum, fertilizer, and medication.

The Central Bank of Sri Lanka predicted that inflation will decline last month as the nation’s GDP slowed after reaching a peak of around 70%.
According to official data released last week, the economy shrank by 8.4% in the three months leading up to the end of August.
Prior to the pandemic, Sri Lanka mainly relied on foreign exchange from tourism, including US dollars.

Although intended to stop the spread of Covid-19, border closures drove travelers away and had a significant negative impact on the nation’s economy. Sri Lanka’s early this year debt default was caused by this as well as years of financial mismanagement.

Last month, the Central Bank of Sri Lanka forecast a fall in inflation as the country’s GDP slowed after peaking at almost 70%.
In the three months prior to the end of August, the economy shrunk by 8.4%, according to official data released last week.
Prior to the pandemic, Sri Lanka primarily relied on foreign currency from US dollars earned from tourists.

Border closures, despite being designed to stop the spread of Covid-19, discouraged travelers and had a seriously detrimental effect on the economy of the country.

This, along with years of financial mismanagement, contributed to Sri Lanka’s debt default at the beginning of this year.

Neha Ayub
Written By

Click to comment

Leave a Reply

Your email address will not be published.



Latest Updates

PTI chief Imran Khan is demanding fresh elections and delay in appointment of the next chief of army staff until after the general elections.


It was revealed on Tuesday that the Federal Board of Revenue teams raided a big fashion main office in the Punjabi capital. The reason...

Latest Updates

ISLAMABAD: Prime Minister Shehbaz Sharif stayed at The Plaza, one of the most expensive hotels in New York to attend the 77th session of...


ISLAMABAD: PML-N leader Ishaq Dar is expected to take oath as the finance minister on Tuesday and sitting Finance Minister Miftah Ismail has tendered...

Copyright © 2022 The Truth International