News Tech: Sri Lanka’s inflation rate rose to 60.8% in July from 54.6% in June, the crisis-hit country’s statistics office said on Saturday. Colombo’s annual consumer price index-based inflation rate was 60.8% in July, the Census and Statistics Department said in a statement. In June it was 54.6%. Food inflation in July rose 90.9% year-on-year from 80.1% in June. The country’s central bank has said inflation may peak at the 75%. Sri Lankans are facing shortages of basic necessities amid the worst economic collapse since 1948. Until the middle of this month, there was an extreme shortage of gas for cooking, and long lines were formed for replenishment.
The government declared her bankruptcy in mid-April, refusing to pay her international debt. Protests in the country prompted Gotabaya Rajapaksa to leave the country and resign as president. The former Rajapaksa government has been accused of foiling the economic crisis.
The situation is now easing with some deliveries. However, miles of fuel lines can still be seen. The country has negotiated a bailout package with the International Monetary Fund (IMF). Negotiations with the IMF stalled over the need for a debt restructuring. The president’s office, Ranil Wickremesinghe, said in a statement on Friday that negotiations with the IMF were ongoing. The statement said political negotiations were underway to form an all-party government to achieve political stability following recent domestic turmoil. Sri Lanka has endured months of massive unrest over its worst economic crisis.