Sri Lanka 2026 Q1 GDP expands 5.1% on industry, service boost

Sri Lanka
By Editor_1

COLOMBO– Sri Lanka’s Gross Domestic Product (GDP) grew by 5.1% in the first quarter of 2026 compared to the same period last year, accelerating from a 4.7% expansion in the previous quarter, data from the Department of Census and Statistics showed.

GDP at constant (2015) prices reached 3,653 billion rupees in Q1 2026, up from 3,477 billion rupees in Q1 2025. This marks a sustained recovery from the 10.6% contraction suffered during the economic crisis peak in Q1 2023.

Growth was led by the industrial sector, which expanded 7.2%, contributing 27.2% to total economic output.

Within industry, mining and quarrying rose 19.5% and construction grew 16.3%, while manufacturing registered a softer 2.8% expansion.

The services sector grew by 3.4% Insurance activities surged 22.0 percent, IT/BPM services expanded 16.1%, and financial services rose 12.8%.

Agriculture rebounded to a 1.1% growth from a 1.35% contraction last year, despite a 5.8% drop in paddy. Coconut production grew 64.8%, offsetting contractions in tea and animal production.

-economynext.com

Editor_1
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