📈 Consumer Sentiment Plunges to Lowest Level Since June 2024

Sri Lanka’s Consumer Sentiment Index saw a sharp contraction in March, signaling increased fragility in household confidence. • Overall Figures: The Index fell by 16 points month-on-month to reach 70. This represents the steepest single-month decline since January 2021. • Economic Outlook: A majority of respondents expect both household finances and the national economy to worsen over the next 12 months. • Key Drivers: • Rising cost of living and energy-related concerns. • Risks of electricity and water disruptions amid heatwave conditions. • Impact of industrial unrest, specifically the Government Medical Officers’ Association (GMOA) strike. • Global uncertainty linked to Middle East conflicts. • Historical Context: While the index remains above the June 2022 low (56), the rapid pace of the downturn highlights a significant shift in consumer behavior from early 2026 stability.