Sri Lanka is working on a new trade arrangement with the European Union when the country graduates from the Generalised System of Preferences Plus system that gives duty free access to the region, a foreign ministry official said.

Sri Lanka which was earlier classified as a middle income country was downgraded to a lower middle income country in July 2020 by the World Bank after two years per capita contraction of gross domestic product, in the wake of monetary instability that triggered two currency crises in close succession.

“EU is the second largest trading partner in Sri Lanka, with exports growing 28 percent under the GSP + facility and records 2.3 billion Euros in total,” Dhammika Senasinghe, Director General for Europe, Central Asia, the EU and Commonwealth, foreign Ministry of Sri Lanka told a business forum in Colombo.

https://economynext.com/sri-lanka-eyeing-post-gsp-relationship-with-eu-76656/