Sri Lanka Economic Outlook
May 21, 2019Economic growth likely rebounded in Q1 from the 17-year low registered in Q4 2018, as the constitutional crisis subsided and international lenders resumed relations with the country. Tourism notably recovered, posting healthy visitor and earnings growth, while industrial production picked up, primarily due to strong growth in March. However, terrorist attacks on 21 April, which killed over 250 people, will have dealt a decisive blow to the nascent economic recovery. Since then, officials reported tourist arrivals have more than halved, while the manufacturing PMI hit an all-time low in April. Moreover, lower business confidence is poised to weigh on investment in the coming months, while a damaged tourism sector could deprive the country of critical foreign reserves inflows.
Sri Lanka Economic GrowthRecent terrorist attacks severely affect prospects for this year. Growth will likely remain feeble due to an inevitably weakened tourism sector, which could also hurt the government’s finances in turn. Moreover, critically-low foreign reserves and large debt repayments due this year could prove destabilizing and force the authorities to seek additional foreign financing. Met the why particular panelists expect growth of 3.4% in 2019, which is down 0.1 percentage points from last month’s forecast, and 3.8% in 2020.
Sri Lanka Economy Data
5 years of Sri Lanka economic forecasts for more than 30 economic indicators.
Get a sample report showing our regional, country and commodities data and analysis.
Sri Lanka Facts
|Exchange Rate||176.7||0.02 %||May 13|
Request a Trial
Start working with the reports used by the world’s major financial institutions, multinational enterprises & government agencies now. Click on the button below to get started.