NEW DELHI: Sri Lanka’s financial system confirmed a robust restoration within the final quarter of 2023 after going through a extreme monetary disaster, with a notable improve in tourism arrivals, in accordance with the federal government.
The census and statistics division reported a 4.5 p.c enlargement within the December quarter, a major enchancment from the 12.4 p.c contraction the earlier yr.
Regardless of this constructive growth, the division added, general financial system contracted by 2.4% in 2023, in comparison with a 7.8% decline in 2022 when the nation defaulted on its $46 billion overseas debt.
“Sri Lanka’s financial system skilled some type of duality in 2023,” the division stated in an announcement, noting that the financial system contracted within the first half of the yr earlier than rebounding within the second half.
“The long-awaited growth in tourism got here in the direction of the top of the yr,” the division said, including that employee remittances had additionally improved.
December noticed a considerable rise in vacationers to 2,10,000 in Sri Lanka, greater than double the earlier yr’s numbers.
Sri Lanka is presently managing a $2.9 billion bailout mortgage from the IMF and negotiating debt restructuring with overseas collectors.
The nation confronted extreme shortages in 2022, resulting in civil unrest and the elimination of the then-president Gotabaya Rajapaksa. The present administration has carried out measures to stabilize state income, together with tax will increase and subsidy withdrawals.
To spice up state income, his successor, Ranil Wickremesinghe, has doubled taxes, eradicated vital power subsidies, and boosted important commodity costs.
(With inputs from businesses)
The census and statistics division reported a 4.5 p.c enlargement within the December quarter, a major enchancment from the 12.4 p.c contraction the earlier yr.
Regardless of this constructive growth, the division added, general financial system contracted by 2.4% in 2023, in comparison with a 7.8% decline in 2022 when the nation defaulted on its $46 billion overseas debt.
“Sri Lanka’s financial system skilled some type of duality in 2023,” the division stated in an announcement, noting that the financial system contracted within the first half of the yr earlier than rebounding within the second half.
“The long-awaited growth in tourism got here in the direction of the top of the yr,” the division said, including that employee remittances had additionally improved.
December noticed a considerable rise in vacationers to 2,10,000 in Sri Lanka, greater than double the earlier yr’s numbers.
Sri Lanka is presently managing a $2.9 billion bailout mortgage from the IMF and negotiating debt restructuring with overseas collectors.
The nation confronted extreme shortages in 2022, resulting in civil unrest and the elimination of the then-president Gotabaya Rajapaksa. The present administration has carried out measures to stabilize state income, together with tax will increase and subsidy withdrawals.
To spice up state income, his successor, Ranil Wickremesinghe, has doubled taxes, eradicated vital power subsidies, and boosted important commodity costs.
(With inputs from businesses)
