Sri Lanka’s services sector expanded in July, supported by growth in wholesale and retail trade, financial services, and the transportation of goods, according to the latest Purchasing Managers’ Index (PMI) released by the Central Bank of Sri Lanka (CBSL).
The services PMI rose to 70.1 in July from 61.9 in June, the CBSL said.
Business activities in the wholesale and retail trade experienced considerable growth during the month, the central bank said. Financial services continued to improve, driven by higher lending, while activities related to the transportation of goods also strengthened, it said.
Other sectors showing positive developments included personal services, postal activities, programming and broadcasting, telecommunications, accommodation, food and beverage services, and health care, the PMI showed.
New businesses expanded in July, with the index rising to 64.9 from 62.9 in June, driven largely by trade and financial services.
Employment also strengthened, climbing to 59.8 from 51.6, as firms hired more staff to meet rising demand. Backlogs of work grew as well, while business activity expectations for the next three months improved further on favorable macroeconomic conditions, the central bank said.
