COLOMBO, Jan. 20 (Xinhua) -- Sri Lanka's GDP growth is set to decelerate to 3.5 percent in 2026 and 3.1 percent in 2027, the World Bank said in its latest Global Economic Prospects - January 2026 report.
Sri Lanka's estimated growth rate in 2025 was 4.6 percent, according to the World Bank.
The deceleration reflects structural impediments to growth, including factor and product market inefficiencies, the scarring effects of the economic crisis, and global economic uncertainty hurting demand for exports, the report said.
However, the World Bank expects a strong revenue performance in Sri Lanka, which will lead to reductions in fiscal deficits and public debt.
Global growth is projected to remain broadly steady over the next two years, easing to 2.6 percent in 2026 before rising to 2.7 percent in 2027, the World Bank said. ■
