Sri Lanka: Annual inflation rate surges to more than 70% in August

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In Sri Lanka, the annual inflation rate surged to more than 70 per cent in August as the country struggles with its worst economic crisis. According to official data, food prices rose by 84.6 per cent compared to a year ago in Sri Lanka. The official figures also showed that the economy had contracted by 8.4 per cent in the three months to the end of August.

However, earlier this month, Sri Lanka reached a preliminary deal with the International Monetary Fund for a 2.9 billion loan. The island nation of 22 million people was plunged into financial and political chaos this year as it faced a shortage of foreign currencies. The country has also been unable to afford key imports including fuel, fertiliser and medicine.