- The 2nd quarter of this year’s gross domestic product (GDP) is expected to contract less.
- The central bank stated that over the upcoming several months, the headline inflation is anticipated to further reduce.
- Earnings from tourism and worker remittances are anticipated to expand even more.
According to a statement released on Thursday by the Central Bank of Sri Lanka, the country’s domestic economic activity is anticipated to improve in the second half of this year.
The second quarter of this year’s gross domestic product (GDP) is expected to contract less than previously anticipated, according to the central bank, while the second half is anticipated to record positive growth compared to the same period last year, according to Xinhua news agency.
Economy Recovery
Normalization of monetary circumstances, an increase in business confidence, better supply conditions, an easing of import restrictions, and the effects of structural reforms that encourage growth will all help the recovery.
The impact of weather-related interruptions and weak external demand circumstances, however, could have a negative influence on predicted growth shortly, according to the statement.
The central bank stated that over the upcoming several months, the headline inflation is anticipated to further reduce.
Despite a decline in item shipments, “the trade deficit decreased noticeably during the seven months ending July 2023,” according to the report.
According to the report, earnings from tourism and worker remittances, which significantly grew between January and July, are anticipated to expand even more.
