COLOMBO: Sri Lanka’s trade deficit contracted by 4.1 percent to US$ 733 million in September 2015 from US$ 765 million a year earlier, according to the Central Bank data released in its External Sector Performance Review here the other day.
However, on a cumulative basis, the trade deficit during the first nine months of 2015 increased by 3.8 percent to US$ 6.145 billion, the Bank said.
Export earnings dropped by 5.9 percent to US$ 850 million in September 2015, reflecting a year-on-year decline for the seventh consecutive month since March 2015. The largest contribution to this drop came from industrial exports, which declined by 4.7 percent.
However, export earnings from textiles and garments, which account for around 48 per cent of total exports increased by 1.8 per cent, year-on-year during the month.
Earnings from agricultural exports in September 2015 declined by 11.3 percent, year-on-year, mainly due to significant declines recorded in tea and seafood exports as in last few months.
On a cumulative basis, export earnings declined by 3.7 percent, year-on-year, to US$ 7.996 billion during the first nine months of 2015.
Expenditure on imports also declined by 5.1 percent, year on year, to US$ 1.583 billion in September 2015. On a cumulative basis, expenditure on imports during the first nine months of 2015 declined marginally by 0.6 percent to US$ 14.14 billion.
Earnings from tourism grew by 8.8 percent (year-on-year) to US$ 210.6 million in October 2015, while earnings during the first ten months are estimated to have increased by 17.9 percent to US$ 2.305 billion in comparison to US$ 1.956 billion recorded during the corresponding period of 2014.
Foreign exchange inflows from workers’ remittances slowed marginally by 1.6 percent to US$ 584.2 million compared to US$ 575.0 million in September 2014.
Sri Lanka’s gross official reserves stood at US$ 6.8 billion as at end September 2015.
