Central Bank cuts 2005 GDP growth estimate to 5.3 % form 6% ealier

The Central Bank Friday revised its GDP growth estimates for 2005 from 6 percent before the tsunami to 5.3 percent. The Central Bank Friday revised its GDP growth estimates for 2005 from 6 percent before the tsunami to 5.3 percent. The downward revision accounts for the damages sustained by the tourism and fisheries sectors and the cost of rebuilding.

The anticipated increase in building activity is expected to compensate to some extent for the losses of economic activity in fishing and tourism.

The bank however said that from 2006 onwards the growth in expected to accelerate to over 6 percent spreading across all sectors and geographic regions with the renewed emphasis on regional development as well as the nation building programme of the government.