Sri Lanka's GDP Grows 5.4% in Q4 2024

Sri Lanka's economy demonstrated a strong recovery, growing by 5.4% year-on-year in the fourth quarter of 2024, following a revised growth of 5.3% in the previous quarter. This growth has been attributed to a significant 13.1% increase in industrial production, while the services sector also saw a healthy rise of 2.5%. However, agricultural activities faced a contraction of 2.2%. For the entire year of 2024, the economy expanded by 5%, bouncing back from a previous contraction of 2.3%. The rebound has been supported by financial aid from the International Monetary Fund, which recently provided $334 million to bolster economic recovery. Forecasts suggest that Sri Lanka's GDP growth could stabilize around 5% in 2025 as the country continues to navigate its recovery from a severe financial crisis.