COLOMBO, June 19 (Xinhua) -- Sri Lanka's economy grew by 3.2 percent year on year in the first quarter of 2018, slowing marginally from a 3.5-percent expansion seen in the fourth quarter of 2017, local media quoted the Department of Census and Statistics as saying on Tuesday.

Sectors such as agriculture, industry, services and taxes contributed to the growth in the first quarter while industrial activities also expanded marginally, recording a 1-percent growth rate during this period.

The agriculture sector, which recorded negative growth rates consecutively over several quarters due to unfavorable weather conditions, recovered and commenced recording positive growth rates since the fourth quarter of 2017.

Service activities contributed the highest share of 53.6 percent to the overall GDP and grew by 4.4 percent during the first quarter of 2018, compared to the same quarter in the year of 2017.

The World Bank, in a recent report said Sri Lanka's economy will rebound in 2018 with annual growth averaging 4.5 percent in the medium term.

The World Bank said the economic outlook in the island country remained favorable, provided the government was committed to the reform agenda of improving competitiveness, governance and public financial management.