Weekly Economic Indicators - 15 May 2026

15 May 2026 Highlights of the Week Real Sector

During January to March 2026, tea production recorded a year-on-year decline, mainly due to reduced production in March 2026, driven by extreme dry weather conditions. Rubber production also recorded a year-on-year decline during this period.

Index of Industrial Production (IIP) increased by 3.0 per cent in March 2026 to 106.9 compared to March 2025, mainly contributed by

the increases reported in the manufacture of Wearing apparels (13.8 per cent) and Other non-metallic mineral

products (16.6 per cent).

In April 2026, Purchasing Managers’ Indices (PMIs) indicated a contraction in both Manufacturing and Services activities.

At the beginning of the period from 08 to 15 May 2026, crude oil prices followed an increasing trend amidst persistent supply disruptions and the collapse of US–Iran peace negotiations. During the middle of the period, crude oil prices marginally declined due to investor anxiety over a potential hike in US interest rates. However, prices rose again as market concerns persisted over ship attacks and seizures in the Strait of Hormuz. Overall, by the end of the period, Brent and WTI crude oil prices increased by US dollars 5.66 per barrel and US dollars 6.79 per barrel, respectively, compared to a week ago.

Monetary Sector

Weekly Average Weighted Prime Lending Rate (AWPR) for the week ending 15 May 2026 decreased by 8 bps to 9.71 per cent compared to the previous week.

The Average Weighted Call Money Rate (AWCMR) increased to 7.79 per cent on 15 May 2026 compared to 7.76 per cent at the end of last week.

The reserve money decreased compared to the previous week mainly due to the decrease in deposits held by the commercial banks with the Central Bank.

The total outstanding market liquidity was a surplus of Rs. 156.80 bn by 15 May 2026, compared to a surplus of Rs. 253.66 bn by the end of last week.

By 15 May 2026, the All-Share Price Index (ASPI) decreased by 0.69 per cent to 22,905.75 points and the S&P SL 20 Index decreased by 0.55 per cent to 6,284.24 points, compared to the index values of last week.

Fiscal Sector

During the week, Treasury Bill yields remained broadly stable in both the primary and secondary markets, except for the marginal decrease in the 91 days Treasury Bill yield in the primary market.

The rupee value of Treasury Bills and Treasury Bonds held by foreign investors decreased by approximately 3.31 per cent in the reporting week compared to the previous week.

In the reporting week, the auction for Treasury Bills experienced an oversubscription rate of approximately 2.7 times and Treasury Bonds experienced an oversubscription rate of approximately 2.5 times.

The total volume of secondary market transactions in Treasury Bills and Treasury Bonds increased by approximately 4.9 per cent in the reporting week compared to the week before.

External Sector

Year to date depreciation of Sri Lanka rupee against the US dollar was 4.5 per cent as of 15 May 2026.

REALSECTOR 1.1 Price Indices