Sri Lanka, July 1 -- Sri Lanka's construction sector regained momentum in May as a steady flow of new project awards helped drive activity back into expansion territory, offering fresh evidence that investment activity remains resilient despite higher borrowing costs and global uncertainty.

The Central Bank's Purchasing Managers' Index (PMI) for Construction rose to 59.1 in May from 45.7 in April, as contractors resumed work following the seasonal slowdown associated with the April festive period. More importantly, the sector's New Orders Index climbed further to 63.6, signalling that construction companies continued to secure new projects at a robust pace.

The latest reading suggests that the project pipeline underpinning Sri Lanka's ...