High inflation levels continue to plague Sri Lanka, with the Colombo Consumer Price Index indicated inflation to remain at 50.3 percent in March 2023.<br />'' <br />'' This was seen as a marginal reduction from 50.6 percent in February. Despite monetary and fiscal policy tightening, the inflation index has risen by 2.94 percent so far this year.<br />'' <br />'' The central bank has set an annual inflation rate target of between 4-6 percent for end of 2023.<br />'' <br />''In the past month, the Lankan rupee has appreciated as the central bank follows an ad hoc peg recommended by the International Monetary Fund, known as a flexible exchange.