Sep 16, 2015 (LBO) – Sri Lanka’s economy has grown 6.7 percent in the second quarter of 2015 against the 6.4 percent growth rate recorded in the first quarter, the statistics department said.
Agriculture sub sector has grown by 5 percent, industry by 2 percent and services by 7.9 percent, the department said.
After a re-basing exercise in July this year the department said the new growth rate for the first quarter of 2015 was 5.1 percent.
The Department said GDP for the second quarter 2015 is based on production approach following re-basing exercise.
In the second quarter of 2015, the highest contribution for the GDP as in previous quarters, has given mainly through Services activities (61.2 percent).
Industry and Agriculture, forestry and fishing activities has shared the GDP by 23.5 percent and 7.5 percent respectively.
A new item called ‘taxes less subsidies on products’ have been introduced in the national accounts which accounted for 7.9 percent share of the GDP.
In the new series of National Accounts, the GDP of the economy has been derived by adjusting the ‘taxes less subsidies on products’ to the total Gross Value Added, the department said.
In comparison with the second of 2014, in second quarter of 2015 the sub activity of ‘Marine fishing and marine aquaculture’ has recorded a 7.5 percent growth rate.
The sub activity of ‘Fresh water fishing and fresh water aquaculture’ has reported a sharp decline of 21.9 percent.
In comparison with the second quarter of 2014, in the second quarter of 2015, the ‘Construction’ activity grew by 6.4 percent.
The major materials used in the construction industry, has increased by 4.5 percent and out of that the cement supply has increased by 13.2 percent.
The ‘Wholesale and retail trade’ which contributes nearly 13.5 percent to the total GDP, reported a 5.9 percent growth rate in the second quarter of 2015, when compared to the high growth of 19.3 percent recorded in the second quarter of 2014.
The value added of wholesale and retail trade activity has been affected by fluctuations in total imports and total domestic production.