The Colombo Consumer Price Index (CCPI, 2021=100) based headline inflation (year-on-year, Y-o-Y) remained unchanged at 2.1% in December 2025, primarily supported by a favourable statistical base effect, despite notable month-on-month price increases caused by Cyclone Ditwah.
Food inflation (Y-o-Y) held steady at 3.0%, while Non-Food inflation (Y-o-Y) edged up to 1.8% from 1.7% in November.
On a month-on-month basis, the CCPI rose by 1.26%, driven largely by the Food category, which contributed 1.25 percentage points, reflecting supply-side disruptions from adverse weather, while Non-Food contributed 0.01 percentage points.
Core inflation (Y-o-Y), capturing underlying inflation trends, accelerated to 2.7% in December from 2.4% in November.
Inflation projections from the November 2025 monetary policy review indicate a gradual rise towards the 5% target in the period ahead, supported by appropriate policy measures.
The CCPI, compiled by the Department of Census and Statistics (DCS), tracks average price changes of goods and services purchased by households in urban areas of the Colombo district.