CCPI Headline Inflation Eases To 1.6% in February 2026: CBSL

COLOMBO(News 1st); Sri Lanka’s headline inflation, measured by the Colombo Consumer Price Index, slowed further in February 2026, according to the late st data released by the Central Bank of Sri Lanka.

Headline inflation on a year-on-year (Y-o-Y) basis decelerated to 1.6% in February 2026, down from 2.3% recorded in January 2026.

Food inflation saw a sharp slowdown during the month. On a Y-o-Y basis, food inflation eased significantly to 0.2% in February from 3.3% in January. In contrast, non-food inflation accelerated to 2.3% in February, compared to 1.8% in the previous month.

On a month-on-month basis, the CCPI recorded a decline of 0.85% in February 2026. The decrease was largely driven by the food category, which contributed -0.86 percentage points to the overall change. This was mainly due to reductions in the prices of vegetables and green chillies. Meanwhile, the non-food category made a marginal positive contribution of 0.01 percentage points.

Core inflation, which reflects underlying inflationary trends by excluding volatile items, also moderated. Core inflation (Y-o-Y) declined to 2.1% in February from 2.3% in January.

According to the Central Bank’s inflation projections presented at the January 2026 monetary policy review, inflation is expected to gradually move towards the 5% target by the second half of 2026, supported by appropriate policy measures.

The latest figures indicate continued stability in price levels, with easing food prices playing a key role in bringing overall inflation down during February.