Sri Lanka’s economy shrinks 8.4% in second quarter amid financial crisis – ThePrint – ANIFeed

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Colombo [Sri Lanka]Sep 15 (ANI): Sri Lanka’s economy contracted by 8.4% in the April-June quarter compared to the same period a year ago, according to data from the Statistics Department of the government on Thursday, amid concerns about the country’s current financial situation.

“The year-on-year GDP growth rate for the second quarter of 2022 was estimated at 8.4% negative growth rate, compared to the value reported in the same quarter of the year 2021” , said the Department of Census and Statistics of Sri Lanka. in a press release, on the publication of national accounts estimates.

Sri Lanka is facing an economic crisis not seen since its independence in 1948, leading to severe shortages of essential items like food, medicine, cooking gas and fuel across the island nation.

The island nation saw its growth contract of 1.6% in the first quarter of 2022.

The Census and Statistics Department also said agriculture was down 8.4% in the second quarter and industries by 10%, while services were down 2.2% from the same period a year ago. one year old.

“Furthermore, the Gross Domestic Product of Sri Lanka for the second quarter of 2022 at the current price has increased to Rs. 5,374,716 million rupees. 33.3% positive change in GDP at current prices,” the data show.

He added that the three main economic activities of the economy – agriculture, industry and services contributed their share to GDP at current prices of 10.2%, 32.0% and 49.4% respectively, while the “Taxes less subsidies on products” component contributed 8.4% to GDP in the second quarter of 2022.

The country has faced the unavailability of basic inputs for production, with an 80% depreciation of the currency since March 2022, coupled with a lack of foreign exchange reserves, and the country’s failure to meet its obligations. of international debt.

The economic crisis has particularly affected food security, agriculture, livelihoods and access to health services. Food production in the last harvest season was 40-50% lower than last year, and the current agricultural season is at risk, with shortages of seeds, fertilizers, fuel and credit. (ANI)

This report is generated automatically from the ANI news service. ThePrint declines all responsibility for its content.

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