This brief report of the Perceived Economic Opportunity (PEO) presents the analysis of a random survey carried out using a random sample of 400 men and women covering all districts in Sri Lanka on their expectations of economic prospects in the ensuing twelve months.

STATUS OF JOB PROSPECTS OR BUSINESS PERFORMANCE

Analysis of the perceived economic opportunities in the months of October, November and December 2019 indicate that the expectations in terms of job prospects of people or developing the status of their business in the ensuing 12 months has increased from last quarter. The same expectation had an upward trend for the past quarter.

The same expectation started a decreasing trend in the third quarter of 2018 and continued the reduction in the fourth quarter of 2018 and in the first and second quarters of 2019.

The tourism industry of Sri Lanka and the services attached to the industry was severely affected Due to the Easter bomb attack in April 2019 and has been gradually recovering in the months of July, August and September. This has impacted the growth of the status of job prospects and business performance. In addition, the appointment of Gotabhaya Rajapaksa as the President of Sri Lanka in mid-November 2019 has raised the expectations of the people. This, too, may have been a reason for this hope to rise.

According to industry figures, the travels that have been cancelled due to the Easter bomb attack had started to pick up from September.

The below graph shows the change of expectations in terms of job prospects of people, or development of the status of their business, in the ensuing 12 months.

Refer the graph 01 below;

ABILITY TO SAVE

According to the analysis in the months of October, November and December 2019, the expectation among the people to save a little more from their personal earnings in the ensuing 12 months has increased compared to the third quarter of the year 2019.

Please Refer the Graph 02;

EXPECTATION FOR REDUCTION OF CORRUPTION

The expectation for reduction of corruption in the country showed a significant positive trend in the first quarter of 2019 and the same trend continued to grow in the second quarter of 2019. However, the same expectation was reduced in the third quarter of 2019. However, this hope was raised again in the third quarter of 2019 and the main reason behind it was the appointment of Mr Gotabhaya Rajapaksa as President.

Please Refer the Graph 03;

PEO; Perceived Economic Opportunity is developed and surveyed by the Foundation for Economic Freedom in Sri Lanka. PepperCube Consultants carry out the field research covering the entire country.

The Perceived Economic Opportunity was developed and is measured by the Foundation for Economic Freedom in Sri Lanka (FEF) in partnership with Friedrich Naumann Stiftung Fur Die Freiheit.