Sri Lanka Development Update, Fall 2016
The Sri Lanka development update report talks about the recent economic developments in Sri Lanka for the year 2015-2016. With no exception, Sri Lanka also faced the challenges of a trying global environment in 2015. Uncertainties in an election ye...
| Main Author: | |
|---|---|
| Format: | Report |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2016
|
| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/622841476967944601/Sri-Lanka-development-update http://hdl.handle.net/10986/25351 |
| Summary: | The Sri Lanka development update report
talks about the recent economic developments in Sri Lanka
for the year 2015-2016. With no exception, Sri Lanka also
faced the challenges of a trying global environment in 2015.
Uncertainties in an election year that saw a major political
transition contributed to elevate the risks stemming from
global context. The accommodative policy choices supported
economic growth. Authorities took policy measures aimed at
stability, beginning 2016. The fiscal deficit rose sharply
in 2015 due to increased expenditures in salary hikes and
subsidies, one-off charges, reduced consumption taxes and
increased interest costs on resultant deficit financing. A
new IMF program is providing a solid platform for macro
fiscal stability. World Bank supports the government’s
reform agenda, to eliminate obstacles to private sector
competitiveness, enhance transparency and public sector
management and improve fiscal sustainability. The government
has undertaken to implement a medium-term reform agenda that
aims to improve competitiveness, governance and public
financial management that would bring in long-term benefits.
These developments have contributed to an improved outlook.
Growth is expected to remain unchanged in 2016 and grow
marginally over 5.0 percent beyond, driven by private
consumption and postponed FDI in 2015. The special focus
section discusses the Systematic Country Diagnostic (SCD)
for Sri Lanka, launched by the World Bank in February 2016.
The SCD is an objective, evidence-based, candid assessment
of the main challenges facing the country, without
limitation to the areas where the WBG is currently engaged. |
|---|