Trade deficit contracts in October 2019-CBSL

2019-12-14 at 12:35

The Central Bank of Sri Lanka says the trade deficit contracted in October 2019 after widening in the previous month with the decline in expenditure on imports and a marginal decline in earnings from exports.

The Central Bank said import expenditure recorded a decline of 3.5 percent and export earnings declined fractionally by 0.2 percent in October 2019.

The trade deficit fell to US$ 838 million in October 2019 compared to the deficit of US$ 903 million recorded in October 2019.

Earnings from merchandise exports declined 0.2 percent in October 2019 to US$ 977 million compared with US$ 979 million in October 2018 as a result of lower agricultural exports.

Expenditure on imports declined in October 2019 by 3.5 percent to US$ 1.816 billion from US$ 1.882 billion a year ago.

During the first ten months of 2019, the cumulative deficit in the trade account contracted to US$ 6.451 billion from US$ 8.857 billion recorded in the corresponding period of 2018.

Earnings from tourism were estimated at US$ 223 million in October 2019, in comparison to US$ 287 million in October 2018.