Sri Lanka records GDP growth of 3.7-pct

Sept 19, 2018 (LBO) – Sri Lanka has recorded a growth of 3.7 percent in Gross Domestic Product in the second quarter of 2018.

Growth in the first quarter was slightly lower at 3.5 percent.

The GDP at constant (2010) prices for the second quarter of 20 18 recorded as 2, 264,445 million rupees, and GDP reported for second quarter in 2017 was 2, 183,122 million rupees.

The four major components of the economy Agriculture, Industry, Services and Taxes fees subsidies on products have contributed their shares to the GDP at current price by 8.4 percent, 25.6 percent, 57.1 percent and 8.9 percent respectively.

In this quarter, Agricultural activities expanded favorably by 4.5 percent, compared to the contraction of 3.1 percent reported in the second quarter of 2017 while Industrial activities performed a slight expansion of 2.3 percent and Service activities expanded further by 4.8 percent during the second quarter of 20 18.

Among the sub activities of Agriculture, ‘Growing of Cereals, ‘Growing of Rice’, ‘Growing of Vegetables’ and ‘Growing of Oleaginous fruits including coconut’ have expanded by 19.2 percent, 59.3 percent, 9.6 percent and 5.4 percent respectively recovering the heavy contractions recorded in the second quarter of 2017 .

The sub activities of ‘Growing of fruits’, Growing of Spices’, ‘Animal production’, and ‘Fresh water fishing ‘ have further expanded by 6.9 percent, 3.1 percent, 2.6 percent and 32.8 percent respectively. In the meantime ‘Growing of Tea and ‘Growing of Rubber’ reported substantial declines of 7.1 percent and 11.9 percent while a slight contraction of 0.5 percent is recorded for ‘Marine Fishing’ .

The Industrial activities which share one fourth of the GDP in the second quarter of2018, expanded by 2.3 percent. The manufacturing sector alon e has expanded further by 3.2 percent during this period, supported mainly by the sub activities of ‘Manufacture of food, beverages and tobacco’, ‘Manufacture ” ‘Manufacture ” of textile and wearing apparels’ ,)Manufacture of coke and refined petroleum products’, ‘Manufacture of basic metals and fabricated metals’ and ‘Manufacture offumiture’, which recorded positive growth rates of 5.2 percent, 1.9 percent, 22.4 percent, 6.3 percent and 5.9 percent respectively.

The ‘Construction’ activity, one of the main contributors, to the total GDP, grew moderately by 1.4 percent
in this quarter compared to the 6.0 percent growth recorded in the second quarter of 2017.