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External Sector Performance - November 2024

The external sector of the Sri Lankan Economy continued to strengthen further in November 2024, supported by higher inflows in the form of earnings from tourism and workers’ remittances.

Sri Lanka Purchasing Managers’ Index (Construction) - November 2024

Sri Lanka Purchasing Managers’ Index for Construction (PMI - Construction) expanded, albeit at a slower pace in November 2024, recording a Total Activity Index value of 51.4. Several respondents mentioned that the severe weather conditions that prevailed during the month somewhat disrupted their scheduled work.

Exchange of International Sovereign Bonds under the Local Bonds Option for Eight (8) New LKR Treasury Bonds pursuant to the External Debt Restructuring (EDR)

The Invitation Memorandum for the exchange of International Sovereign Bonds of the Democratic Socialist Republic of Sri Lanka dated 25 November 2024 (the "Invitation Memorandum") was published by the Ministry of Finance, Planning and Economic Development with subsequent announcement of the final results of the consent solicitation for the exchange on 16 December 2024 (terms used herein but otherwise not defined have the meanings given to such terms in the Invitation Memorandum).

Relief Measures to Assist the Affected Small and Medium Enterprises

The Central Bank of Sri Lanka issued a Circular to Licensed Banks on 19.12.2024, highlighting relief measures to be provided to the Small and Medium Enterprises (SMEs) affected due to the Easter Sunday attack, COVID-19 pandemic, and the extraordinary macroeconomic conditions that prevailed during the recent past, as agreed by the Sri Lanka Banks’ Association (Guarantee) Ltd. (SLBA) during the meetings of the Working Committee on Recovery of Loans by Banks (Special Provisions) (Amendment) Act, No. 26 of 2024.

Provincial Gross Domestic Product (PGDP) - 2023

Western Province held onto its dominant economic position despite a slight decline in share..

Western province accounted for the largest share (43.7 per cent) of Sri Lanka's nominal GDP in 2023, although this indicated a marginal decline in its contribution compared to the previous year. The dominant role of the Western province was particularly evident across the Industry and Services sectors. Meanwhile, North Western (10.9 per cent) and Central provinces (10.3 per cent) remained the closest contenders, securing the second and third positions, respectively.

Progress on Combating Prohibited Schemes under Section 83(C) of the Banking Act No 30 of 1988, as amended

The Central Bank of Sri Lanka (CBSL) has taken proactive measures to address the alarming increase in prohibited schemes, which poses risks to the financial system stability and protection of the general public from such schemes. These initiatives include conducting investigations under Section 83C(3) of the Banking Act to determine whether individuals or entities have contravened or are likely to contravene the provisions of Section 83C(1) of the Banking Act.

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