Sri Lanka’s Services PMI rose to 58.5 in June 2026 from 56.9 in May, indicating a faster pace of expansion in business activity, underpinned by broad-based improvements across sectors. New business strengthened (62.5 vs. 58.0), driven primarily by the financial services sector, with insurance, professional services, and other personal services also supporting overall growth.
Employment returned to expansionary territory (54.0 vs. 49.4) as many firms increased their staffing levels. At the same time, backlogs of work stabilized at the neutral threshold (50.0), following a contraction in May (48.1).
Looking ahead, firms remained optimistic that business activity will continue to expand over the next quarter, supported by gradually improving economic conditions and an anticipated rise in tourist arrivals. However, persistent global uncertainties continue to pose downside risks to the outlook.
