LNP - Sri Lanka economy reports 4.9% growth in second quarter

Sri Lanka’s economy grew 4.9% year-on-year in the second quarter of 2025, official data showed on Monday (15). The Department of Census and Statistics (DCS) Sri Lanka, has released the estimated Gross Domestic Product (GDP) at current price and at constant (2015) price in the Production approach and the other macroeconomic indicators for the second quarter (April 1 to June 30) of 2025. The GDP for the second quarter of 2025 at constant price (2015) has increased up to Rs. 2,883,559 million from Rs. 2,749,504 million which was reported in the second quarter of 2024. Accordingly, the GDP growth rate for the second quarter of year 2025 has been reported as 4.9 percent of positive growth rate. In the second quarter of 2025, agricultural activities, industrial and services activities expanded by 2.0 percent, 5.8 percent and 3.9 percent respectively. The Department of Census and Statistics noted that benefiting from the favorable economic conditions that prevailed over the past seven quarters, the Sri Lankan economy reported a positive expansion of 4.9 percent for the second quarter of 2025. This simultaneously highlights the eighth consecutive quarter with recorded positive economic growth rate and the continuous recovery of previous economic downturn, the Department added. Furthermore, the Department of Census and Statistics said lifting vehicle import restrictions coincide with relatively lower interest rates enriched economy to perform as expected through major economic activities like ‘Wholesale and retail trade including repair of motor vehicles’, ‘Goods and passenger transport including warehousing activities’, ‘Financial services activities’, ‘Insurance activities’, as well as ‘Taxes less subsidies on products’.