Economy booms

COLOMBO: Sri Lanka is expected to record its highest annual economic growth in 28 years despite escalating violence in the decades-old separatist conflict, analysts said.

Security has deteriorated since December with bombings, artillery attacks, suicide bombings and fierce face-to-face confrontations that have officially claimed at least 1,500 lives.

However, the 24-billion-dollar economy is booming, analysts said, with a staggering 8.1 percent growth in the first three months of this year and forecasts of 8.0 percent for the full year, the best since 1978.

Treasury Secretary Dr. P.B. Jayasundara said growth was expected to be more than 7.0 percent in the second quarter of this year.

More: http://www.dailynews.lk/2006/08/19/news01.asp