Export Development Board (EDB) says that despite the global economic difficulties arising from the military conflicts in the Middle East, the country’s exports have shown a six percent growth during the first four months of this year compared to 2025.

The Chairman of the Export Development Board Mangala Wijesinghe said that, given this trend, there is a strong possibility of exceeding last year’s revenue targets, which already represented the highest export revenue in the country’s history.

Sri Lanka recorded a strong economic performance in the first quarter of 2026, with Gross Domestic Product (GDP) growing by 5.1 percent.

According to the Department of Census and Statistics, Sri Lanka’s GDP at constant prices rose to Rs. 3,652,503 million in the first quarter of 2026, compared to Rs. 3,476,664 million recorded during the same period in 2025.

At current prices, GDP reached Rs. 9,164,652 million, reflecting an 11 percent increase compared to the previous year, further underscoring the expanding scale of the economy.

The growth was driven by contributions from all three major sectors of the economy, with industry emerging as the strongest performer. Industrial activities expanded by 7.2 percent, supported by robust gains in construction and mining, as well as steady improvements in manufacturing. Construction activity, in particular, saw significant

The services sector, which remains the largest contributor to Sri Lanka’s economy, recorded a 3.4 percent expansion, with notable growth in financial services, insurance, information technology, and tourism-related activities. Increased economic activity and improved domestic demand played a key role in supporting the sector’s performance.

Agriculture, although showing more modest gains, also returned to positive territory with a 1.1 percent expansion, reversing a contraction recorded during the same period last year. Growth in certain crop segments helped offset declines in fisheries and some plantation crops.

The Sri Lankan government has launched a Rs. 15 billion project to fully modernize Terminal 1 at Bandaranaike International Airport (BIA), Katunayake, without relying on foreign loans. The initiative aims to address growing passenger congestion and support the country’s expanding tourism sector.

Deputy Minister of Ports and Civil Aviation Janitha Ruwan Kodithuwakku stated that the project will be funded entirely through local government resources while the construction of Terminal 2 continues. Planned upgrades include expanding the departure hall, improving security and immigration processing, redesigning the arrivals area and modernizing baggage handling systems.

Upon completion, Terminal 1’s annual passenger handling capacity is expected to increase from 6 million to 15 million passengers, significantly enhancing Sri Lanka’s position as a regional aviation hub.