Sri Lanka’s Economy to further decline…

The Asian Development Bank (ADB) stated in its yearly flagship economic publication, the Asian Development Outlook (ADO), April 2023, that Sri Lanka’s economy is expected to continue to contract in 2023 before starting to slowly recover in 2024 as the country navigates an unprecedented economic crisis.

According to the analysis, the GDP shrank by 7.8% in 2022 and is expected to shrink by 3% in 2023 as it continues to struggle with debt restructuring and balance of payments issues.

The International Monetary Fund’s (IMF) Extended Fund Facility arrangement, which was recently approved, and other reform measures including the rollback of the 2019 tax cuts, according to the ADB, will boost the nation’s efforts to stabilize its economy.