Inflation Sri Lanka 2016

Average inflation: 4.0%

Inflation in 2016

Inflation is high at 4.0%, well above the ECB target.

Peak and Trough

The highest inflation was in June at 6.4%. The lowest inflation was in January at -0.7%.

Highest month
June: 6.4%
Lowest month
January: -0.7%
Difference
7.1 percentage points
Months with data
12 of 12

Category Insights

The highest price increase was in Core inflation with an average of 5.9%. The lowest price increase was in Energy with an average of 0.1%.

Highest increase
Core inflation: 5.9%
Lowest increase
Energy: 0.1%

Historical Context

Inflation is 1.1 percentage points lower than the 5-year average of 5.1%.

5-year average
5.1%
10-year average
5.4%
All-time high (2012)
7.5%
All-time low (2014)
3.2%

Trend

Over the period 2014-2016, inflation has remained relatively stable. Compared to 2015, inflation has risen by 0.2 percentage points.

Change vs. previous year
+0.2 percentage points
Largest monthly swing
January: -10.1 percentage points

ECB Target

Inflation is 2.0 percentage points above the ECB target of 2.0%. This means purchasing power is declining faster than intended.

Purchasing Power

At this inflation rate, purchasing power noticeably decreases. Without a salary increase, you can buy less with the same money.

What you could buy for LKR 100 this year will cost approximately LKR 104 next year at this inflation rate.

Multi-year trend

Monthly figures 2016

Month overview

Month Inflation Difference vs. 2015
January -0.7% -10.1
February 1.7% -4.0
March 2.2% -2.1
April 4.3% +1.5
May 5.3% +2.3
June 6.4% +3.7
July 5.8% +4.0
August 4.5% +2.6
September 4.7% +2.8
October 5.0% +2.0
November 4.1% -0.7
December 4.2% 0.0
Average 4.0%

Data source

Data from WorldBank. Last updated: 06/01/2026.

See also