Sri Lanka's inflation hits record 54.6% in June

Sri Lanka's inflation rose to 54.6% in June, its statistics office said on Thurday - a record level, compared to the previous high of 39.1% in May.

Price increases were significantly driven by food inflation, which rose by 80.1% on year, the Census and Statistics Department said in a statement. Transport costs also rose by 128% as the island hiked fuel prices twice in as many months to tackle global price increases.

Sri Lanka is facing a severe financial crisis brought on by a dollar shortage that has left it struggling to pay for essential imports of food, fuel and medicine.