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Sri Lanka economic report out: IPS

Oct 05, 2009 (LBO) - Sri Lanka's Institute of Policy Studies has released its annual analysis of the country's economy looking at the impact of a downturn in 2008 and policies needed for recovery, the think tank said. IPS's annual report, Sri Lanka: State of the Economy 2009, is themed on 'Global Economic Crisis: Issues, Impacts and Outlook'.

It examines the path of the current global economic crisis, the impacts that have been visible in Sri Lanka, and discusses policy concerns that need to be addressed to mitigate downside effects.

"In 2009, world output is estimated to contract for the fist time in 60 years, with growth in global export volumes forecast to plummet by 10 per cent after 30 years of uninterrupted growth," IPS said in a statement.

"The economic slowdown holds wider implications – job lay-offs and rising unemployment, the potential to disrupt access to job opportunities for migrant workers."

A sharp drop in export earnings, lower demand for imports and a slower economic growth was seen in 2008 and into early 2009.

"Whilst there is an optimism that the global economy will begin to turn around towards a gradual recovery in 2010, there is still considerable uncertainty r

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