The World Bank has projected a notable upswing in Sri Lanka’s economic growth, forecasting a robust 3% expansion by 2026.
This optimistic outlook is contingent upon the successful execution of key initiatives, including debt restructuring negotiations and the implementation of structural reforms aimed at mitigating the adverse impacts of planned fiscal consolidation.
Based on the statement by the World Bank, Daily Mirror in April reported that Sri Lanka is likely to witness a modest growth of 2.2 percent in 2024.
The 2.2 percent growth in 2024, marks a 0.5-percentage-point upward adjustment from January’s estimates.
Furthermore, the World Bank noted that the growth momentum in the South Asian Region surged to 6.6 percent in 2023, largely propelled by robust expansion in India.
Early 2024 continued to witness strong activity in India, albeit with private sector activity still subdued in several countries, including Pakistan and Sri Lanka.
In the case of Sri Lanka, following a contraction in 2023, economic activity has rebounded, supported by the recovery of tourism and remittances, albeit remaining below pre-pandemic levels.
