GDP contracts 1.6 per cent in 1Q'20
Sri Lanka’s Gross Domestic Product (GDP) contracted by 1.6 per cent in the first quarter of 2020 (1Q’20), dropping to Rs 2.29 trillion from Rs 2.33 trillion recorded a year ago, according to data released by the Department of Census and Statistics.
The data, released after a two-month delay, showed that the agricultural sector contracted 5.6 per cent during the quarter under review, while the industrial sector contracted 7.8 per cent. However, the Services sector posted a growth of 3.1 per cent.
The four major components of the economy, Agriculture, Industry, Services and Taxes-less Subsidies on products their shares to the GDP at current price by 7.3 per cent, 28.4 per cent, 58.3 per cent and 6 per cent, respectively, during the first quarter.
Sri Lanka’s gross national income (GNI) contracted 1.7 per cent to Rs 2.23 trillion during 1Q’20 from Rs 2.27 trillion a year ago.
Sri Lanka has economic growth declining over the past three years, and last year, the country’s economy expanded only 2.3 per cent, an 18-year low.
Sri Lanka’s GDP for the second quarter is expected to take a deeper hit due to the lockdowns imposed by the Government during the latter part of March.