Sri Lanka’s Gross Domestic Product (GDP) recorded a growth rate of 5.1% in Q1 2026, according to the latest National Accounts Estimates released by the Department of Census and Statistics (DCS). 

The data showed that the country’s GDP at constant prices (2015) increased to Rs 3,652,503 million in the first quarter of 2026, up from the Rs 3,476,664 million recorded during the corresponding period in 2025. Sri Lanka’s GDP growth in the first quarter of 2025 was 4.8%.

GDP also rose by 11.0% in year-on-year (y-o-y) terms to Rs 9,164,652 million, from the Rs 8,253,485 million recorded in the first quarter of 2025, with the services sector accounted for the largest share of the economy at 54.2%, followed by industrial activities at 27.2% and agriculture at 7.3%, while “Taxes less subsidies on products” contributed 11.3% to GDP, according to the DCS data.

Sector-wise, agricultural activities expanded by 1.1% during the first quarter of 2026, compared to the 1.3% contraction recorded in the first quarter of 2025. The growth was mainly driven by the growing of oleaginous fruits (64.8%), plant propagation activities (18.7%) and forestry and logging (15.0%), according to the data.

Industrial activities expanded by 7.2% during Q1 2026, with construction and mining and quarrying activities being among the highest contributors of 16.3% and 19.5%, respectively. However, this sector grew by 9.8% in Q1 2025, according to data.

Accordingly, manufacturing activities as a whole expanded by 2.8%, supported by growth in the manufacture of chemical and pharmaceutical products (22.8%), basic and fabricated metal products (19.4%), and rubber and plastic products (16.8%), in Q1 2026.

Further, according to the data, the overall services activities reported a 3.4% growth in Q1 2026, compared to the reported 2.7% increase in Q1 2025, driven mainly by Insurance, reinsurance and pension funding (22.0%) and IT programming consultancy and related activities (16.1%) and Financial service activities (12.8%).