Regional disparities reduce in 2007
National GDP, measured as the aggregate of the provincial GDP, has
grown by 21.7 per cent in 2007, reaching Rs.3, 577 billion with a per
capita income of Rs.178,783 according Central Bank of Sri Lanka (CBSL).
The PGDP statistics are estimated at current market prices.
The salient feature observed in the PGDP estimates for 2007 was the
changing trend of the provincial contribution to the national GDP
towards reduction of regional disparities.
During the year, the contribution to the national GDP by the Western
Province dropped further from 50.1 per cent in 2006 to 48.4 per cent in
2007, while contribution from all other provinces except North Central
province increased over the previous year.
Southern province and North Western provinces contributed 10.5 per
cent and 9.6 per cent to the GDP in 2007 compared to 10 per cent and 9.1
per cent in 2006.
Meanwhile, the Central province, Sabaragamuwa province, Uva province,
Eastern province and Northern Province also recorded some improvements
eventhough the contribution of each of these five provinces to total GDP
still remained at less than 10 per cent.
In terms of GDP growth rates, the Western Province and the North
Central province recorded 17.7 per cent and 19.1 per cent, slightly
below the country’s average growth of 21.7 per cent. In contrast, every
other province achieved a growth rate well above the national average
rate.
Accordingly, North Western province, Uva province, Southern province,
Northern Province, Sabaragamuwa province, Eastern province and Central
province recorded growth rates of 28.3 per cent, 28.2 per cent, 27.9 per
cent, 27.1 per cent, 26.7 per cent 23.9 per cent and 22.8 per cent,
respectively.
North Western, Southern, Sabaragamuwa and Central provinces jointly
grew by 26.5 per cent, more than the growth of Western province, adding
a share of 35 per cent to the national GDP compared with a share of 34
per cent in 2006.
This region was responsible for 59 per cent of the total agriculture
value added and approximately 1/3 of total Industry and Services value
added of the national economy.
The growth in the region was largely driven by the expansion of the
Services sector contributing around 52 per cent to the total growth in
the region, while the industry sector and agriculture sector contributed
for 29 per cent and 19 per cent, respectively.
North Central, Uva, Eastern and Northern provinces, contributed less
than five per cent each to the national economy.
These four provinces collectively recorded a growth of 24.4 per cent,
of which 65 per cent came from the expansion of the services sector
followed by Industry and Agriculture sectors contributing 20 per cent
and 16 per cent, respectively. |