Brief by Shorts91 Newsdesk / 06:59pm on 01 Dec 2024,Sunday International
Sri Lanka reported a 2.1% deflation in November, the highest since 1961. The island nation, recovering from a severe financial crisis in 2022, has seen prices drop due to falling energy and food costs. Inflation had peaked at nearly 70% during the 2022 crisis, causing widespread shortages. Economic recovery is underway, aided by a $2.9 billion IMF bailout and austerity measures like tax hikes. The central bank predicts inflation will stabilise at 5% soon. President Anura Kumara Dissanayake has pledged to continue the bailout programme, prioritising economic stability despite the challenges of higher taxes and reduced government spending.
