Sri Lanka’s services export sector demonstrated continued resilience in the first quarter of 2026, maintaining steady growth despite a moderate dip in March, according to official data.
Earnings from services exports were estimated at US$ 286.92 million in March 2026, reflecting a 6.26% year-on-year decline. However, on a cumulative basis, the sector sustained its upward momentum, with total earnings rising by 3.13% to US$ 921.11 million during the January–March period.
The figures highlight the growing importance of services within Sri Lanka’s export portfolio, as the country continues to diversify beyond traditional merchandise exports. Key segments such as ICT/BPM, financial services, construction, and transport and logistics played a vital role in supporting export performance.
Among these, ICT and Business Process Management (BPM) services stood out as a key growth driver. Export earnings from the sector surged by 31.15% to US$ 468.72 million in the first quarter, with March alone contributing US$ 169.46 million—up 26.48% year-on-year. This strong performance underscores Sri Lanka’s expanding presence in the global digital services market.
Financial services also recorded notable growth, increasing by 38.23% to US$ 17.87 million in the first quarter. In March, the sector saw a sharp rise of 74.53% year-on-year to US$ 6.82 million, reflecting improved cross-border financial activity and rising demand for specialised services.
However, some segments faced challenges. Transport and logistics exports declined by 16.35% to US$ 409.22 million in the first quarter, with March earnings falling by 33.73% to US$ 101.08 million, largely due to global trade disruptions and reduced shipping activity amid geopolitical uncertainties. Construction services exports also contracted by 24.67% to US$ 25.29 million, with March figures down 38.99% year-on-year to US$ 9.56 million.
Despite these setbacks, overall services exports remained on a growth path, supported by strong gains in high-value, knowledge-based sectors. Industry analysts note that the continued expansion of ICT/BPM and financial services signals Sri Lanka’s ongoing transition towards a more knowledge-driven economy.