Debt Assurances Clash With Rising Repayment Risks
Sri Lanka will not face another sovereign debt crisis, according to Central Bank Governor Dr. Nandalal Weerasinghe, who has dismissed concerns about renewed default risks from 2028 onward. However, official data indicates that annual external debt servicing is set to rise from around $2.75 billion through 2027 to as much as $3.5 billion thereafter, with peaks nearing $4 billion in …
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IMF Aid Supports Recovery but Exposes Policy Weaknesses
Sri Lanka’s improving fiscal indicators and recovering household incomes mask deeper vulnerabilities in monetary and exchange rate policy, analysts warn. The latest IMF financing, including emergency assistance following Cyclone Ditwah, has eased immediate balance-of-payments pressure but highlighted structural weaknesses in the current framework.
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Finance Ministry Launches IMF-Backed Tax Policy Unit
The Finance Ministry has formally established a Tax Policy Analysis Unit (TPAU) under the Department of Fiscal Policy, marking a key institutional reform aimed at strengthening Sri Lanka’s fiscal management framework.
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LB Finance Outperforms Amid Uneven Recovery in Sri Lanka’s Finance Sector
As Sri Lanka’s finance company sector continues its uneven recovery, LB Finance PLC has emerged as a standout performer, delivering strong growth and stability at a time when many peers remain cautious or constrained.
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IFC Warns Reform Slippage Could Undermine Sri Lanka’s Economic Stability
Sri Lanka’s economic rebound between 2024 and 2025 represents one of the sharpest post-crisis turnarounds in recent emerging market history. However, IFC officials warn that stabilisation alone is not enough, and that the real test of the IMF-supported programme lies in converting short-term gains into long-term resilience.
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CBSL Announces Closure of Public Debt Department
The Central Bank of Sri Lanka (CBSL) has announced the closure of its Public Debt Department (PDD) and the transfer of the LankaSecure Division of PDD to the Payments and Settlements Department (PSD), effective 01 January 2026.
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Drop in foreign job seeke sharply warns of foreign remitence decline – ALFEA
The number of Sri Lankans seeking foreign employment has declined sharply,
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GovPay concludes 2025 with Rs. 2 b in digital transactions
GovPay, the State’s Digital Payment Platform, has concluded the year 2025 by surpassing Rs. 2 billion in total digital transaction value, marking a major milestone in the country’s digital transformation journey.
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World Bank Approves $50m Boost for Sri Lanka Digitisation
The World Bank has approved a US$50 million project to support Sri Lanka’s digital transformation, aiming to modernise public services, strengthen governance, and boost the technology sector.
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Bonds Planned to Fund Cyclone Reconstruction
Sri Lanka is exploring the use of infrastructure bonds to finance large-scale reconstruction following Cyclone Ditwah,
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