With second quarter of 2011 registering an impressive 8.2% GDP growth and year to date at almost 8%, unemployment at 5.2%, inflation at 11-month low at 6.4% and exports growing by 30% plus in 2011 YTD, Sri Lanka appears to be back in a sweet spot already. We believe that the economy, backed by its [...]
Consumer price inflation, in the new 2006–07 series, moderated further in September to 6.4% YoY from 7.0% in August. Our estimate for September was at 6.2% YoY. Food inflation dropped substantially to 6.6% YoY from 8.2% in the preceding month and a 8-month average of 11.5%. Improving food supplies have helped cool off domestic inflationary [...]
Sri Lanka’s future prosperity largely depends on its fast growing and innovative exports sector. The government policies are aimed at developing Sri Lanka as a trading hub on the East-West route; perhaps in direct competition with Singapore and Hong Kong. Even though economic recovery in most developed markets like the US and EU has been [...]
Even the pessimists would appreciate the strong fundamentals of Sri Lanka as economic growth continues to remain strong. Sri Lanka’s second quarter GDP growth came in at 8.2% YoY as against 7.9% clocked in the first quarter. The higher investment levels coupled with the central bank maintaining lower interest rates has resulted in sustenance of [...]
While markets tumbled across the globe, Sri Lankan equities proved outperformers once again. The Colombo All Share Index actually rose 1.5% in the month of August as against the 10–15% fall in global equities. On the economic front, inflation has moderated further to 7% from 7.5% in July. Preliminary estimates suggest that the paddy crop [...]
The Annual Global Competitiveness Report (GCR) from the World Economic Forum (WEF) shows that Sri Lanka has made impressive progress over the last year. The country has climbed 10 places to the 52nd rank in 2011-12. The GCR finds Asia has become globally more competitive as a result of its rise in economic prominence. Over [...]