Many Sri Lankans borrowing money or spending savings to survive

COLOMBO (News 1st); One in three households, 33% of Sri Lankans are food insecure according to WFP’s Household Food Security Survey (December 2022).

It added that nearly seven in ten households are adopting foodbased coping strategies such as relying on less preferred food, limiting portion sizes and reducing the number of meals. 

In addition, over eight in ten households are turning to livelihood coping strategies such as borrowing money or spending savings.

WFP’s Market Functionality Index for December showed that commodity prices continue to be volatile. Several markets have also reported scarcity of items including cereals.

According to the Colombo Consumer Price Index, headline inflation (year-on-year) for January 2023 was 54.2 percent, down from the 57.2 percent in December 2022. According to the Central Bank of Sri Lanka, inflation is expected to continue declining based on the latest macroeconomic projections.

WFP has received US$47.5 million from Australia, Canada, France, Italy, Japan, Luxembourg, New Zealand, Norway, Switzerland and the United States, as well as the UN Central Emergency Response Fund, private sector partners, and multilateral donors. This represents over two-thirds of its emergency appeal for US$63 million