Sri Lanka's 2nd quarter economic growth shrinks by 16.3 percent

COLOMBO (News1st): Sri Lanka's Gross Domestic Product shrunk by 16.3 percent in the second quarter of this year, the largest drop ever recorded in Sri Lankan history. The economy recovered to a 1.5 percent positive growth rate in the third quarter of this year. The Census and Statistics Department, in their national accounts estimates released yesterday said, Sri Lanka's economy, except for a few sectors, were severely affected by the COVID-19 pandemic, during the second quarter of 2020, spanning between the 1st of April & 30th of June this year. The second quarter GDP in absolute terms declined to Rs. 1,936,273 million at constant price, while second quarter GDP at current price decreased to Rs. 3,012,013 million. Normalization of business activities during the third quarter of this year, spanning between the 1st of July and 30th of September this year, helped Sri Lanka rebound to a postive GDP growth of 1.5 percent in the third quarter. GDP in absolute terms for the third quarter of 2020 increased to Rs. 2,545,863 million at constant price. GDP for the third quarter at current price increased to Rs. 4,085,213 million from Rs. 3,833,960 million which recorded in the third quarter of 2019 , registering a 6.5 percent of change in the current price GDP. The Agriculture sector had grown 4.3 percent during the third quarter. Industry had grown 0.6 percent, the manufacturing industry 5.3 percent. and the Services sector by 2.1 percent.