Aug 10, 2012 (LBO) – Sri Lanka’s northern province which had been badly hit by three decades of war had the highest rate of economic growth in 2011 as a post-war revival continued, the central bank said.
The North Western and Southern provinces benefiting from construction, trade, manufacturing, transport, and financial services recorded the next highest growth rates of 21.9 percent and 21.4 percent increasing their share of the GDP.
Eastern and the north central provinces saw a slowdown in growth and a decline in their share of GDP owing to a setback in the agriculture sector.
The Eastern province registered a growth of 12.4 percent last year from 19.5 percent in 2010 while the North central province recorded 12.4 percent in 2011 from 20.6 in 2010. The north’s gross domestic product grew 27.1 percent in 2011, the bank releasing provincial GDP said.
The northern province’s contribution to the overall GDP increased to 3.7 percent last year from 3.4 percent in 2010, the bank data showed.
The Central bank says growth was mainly driven by improved performance in the agriculture sector supported by the expansion of banking service in the region.
Paddy production in the region h