The modification, taken in line with best practices in Europe, will reduce overlap between headline inflation and core inflation, which excludes volatile fuel and food prices, from 73% to 63%, KSH said.

The changes will take effect from the release of April CPI, it added. Higher tobacco prices, lifted by European Union-mandated excise tax increases, have driven recent rises in headline inflation. KSH will release the April CPI on May 11.