National Inflation Slumps to 1.6% in Feb 2026 📈

Sri Lanka’s National Consumer Price Index (NCPI) indicates a significant deceleration in headline inflation for February 2026, driven largely by a sharp decline in food prices. • Overall Inflation: Year-on-Year (YoY) inflation fell to 1.6% in February 2026, down from 2.4% in January 2026. • Food Sector: The YoY inflation for the food group saw a major drop to 1.1% in February, compared to 3.4% in the previous month. This easing provides significant relief for household consumption and the retail sector. • Non-Food Sector: Conversely, YoY inflation for the non-food group edged upward to 1.9% in February from 1.6% in January, reflecting slight price pressures in services and industrial goods. • Economic Context: The data suggests a cooling of the overall price level, primarily influenced by volatile food supply chains, while non-food costs remain relatively stable. _Note: Summary based on provisional NCPI data._