The International Monetary Fund (IMF) will resume discussions on completing the Fifth Review of Sri Lanka’s Extended Fund Facility (EFF) in January, following its decision to prioritise the country’s request for Rapid Financing Instrument (RFI) support, the IMF announced. Sri Lanka was scheduled to receive approximately USD 358 million upon successful completion of the Fifth Review, which was originally due to… Read more: IMF Prioritises Emergency Funding for Sri Lanka Ahead of Fifth Review

The Central Bank of Sri Lanka (CBSL) has directed all licensed banks to offer urgent financial relief to individuals and businesses affected by recent cyclonic and flood disasters across the country. Issued through Circular No. 04 of 2025 on December 5, 2025, the directive enables borrowers whose income or livelihoods have been directly impacted to… Read more: CBSL Orders Debt Relief and Low-Interest Loans for Cyclone-Hit Individuals and Businesses

In a discussion with the Governor of the Central Bank of Sri Lanka (CBSL), the Sri Lanka Banks’ Association (SLBA) stated that it will provide full support for the country’s economic recovery following the damage caused by Cyclone Ditwah. The banks represented by the Association also stated that a detailed impact assessment has already been… Read more: Banks’ Association pledges strong support for economic recovery

The Ministry of Finance convened a high-level donor forum bringing together diplomatic missions, bilateral and multilateral development partners and international lending agencies to assess the aftermath of Cyclone Ditwah and coordinate assistance for national relief, rescue and restoration efforts. The meeting, held yesterday, was co-chaired by the Governor of the Central Bank and the Secretary… Read more: IMF pledges swift release of $350 Mn sixth tranche

Stakeholders in Sri Lanka’s tourism industry say the island nation is ready to receive tourists as usual in the Winter season as Cyclone Ditwah-hit devastation has minimal damage on the tourism infrastructure. However, the Tourism authorities are yet to assess the full damage to hotels, though they have proposed some post- disaster beneficiary scheme including… Read more: Sri Lanka says minimum damage to tourism infrastructure; ready to receive foreigners

Concerns are mounting over the legal rights of thousands of HSBC Sri Lanka customers particularly those classified as bad or non-performing borrowers following the Central Bank’s recent approval for Nations Trust Bank (NTB) to acquire HSBC’s retail banking business in Sri Lanka. Legal experts warn that the transfer raises serious questions about contractual validity, borrower… Read more: Nations Trust Bank (NTB) Accused of Potential Double Recovery in HSBC Loan Acquisition

Sri Lanka’s total economic loss from Cyclone Ditwah is estimated to be between $6 billion and $7 billion, which is roughly 3-5 per cent of the island nation’s GDP, a senior official overseeing recovery efforts said on Wednesday. At least 465 people died so far, and 366 remain missing as Sri Lanka grapples with widespread… Read more: Cyclone Ditwah devastation to cost Sri Lanka up to $7 billion: official

The cyclone’s economic impact comes as Sri Lanka’s external sector faces renewed strain. The Central Bank’s latest data shows that the country recorded current account deficits in both September and October, with October alone posting a USD 199.5 million deficit. The year-to-date surplus has begun to narrow sharply. Imports surged 26.7 percent year-on-year in October… Read more: Sri Lanka Economic Pressures Intensify

Sri Lanka’s apparel industry continues to demonstrate steady performance despite challenging global conditions, according to the Joint Apparel Association Forum (JAAF). Exports of apparel and made-up articles for January to October 2025 grew by 6.12% year-on-year (YoY), maintaining a positive trajectory despite weaker monthly results in October. October 2025 saw a marginal 0.05% decline compared… Read more: Sri Lanka Apparel Exports Show Resilience amid Global Market Challenges

Sri Lanka’s headline inflation, as measured by the Colombo Consumer Price Index (CCPI, 2021=100), remained unchanged at 2.1% year-on-year in November 2025, maintaining the same level recorded in October 2025, according to data released by the Department of Census and Statistics.  The stabilization comes despite varied dynamics across food and non-food categories. Food inflation decelerated to 3.0%,… Read more: CCPI Inflation Holds Steady at 2.1% in November 2025 Amid Mixed Sector Movements

Sri Lanka has appealed for at least Rs. 31 billion in international assistance after catastrophic floods swept across the island, destroying farmland, crippling irrigation systems, and derailing efforts to stabilise the fragile post-crisis economy. The government’s request for emergency support comes as the Colombo Stock Exchange (CSE) suffered a sharp downturn on Monday, falling 3.04… Read more: Sri Lanka Appeals for International Aid as Floods Deepen Economic Strain

Sri Lanka’s insurance sector is assessing the financial fallout from Cyclone Ditwah, which triggered severe floods, widespread property damage and large-scale displacement across multiple districts this week. While insurers expect a spike in motor and property-related claims, industry leaders say the overall financial hit may be less severe than early fears due to strong reinsurance… Read more: Sri Lanka’s Insurance Sector Braces for Heavy Losses as Cyclone Ditwah Floods Trigger Surge in Claims

Sri Lanka’s insurance industry is entering a strong recovery phase, supported by rising economic stability, higher financial literacy, and renewed demand for protection-based products. According to industry data, the sector—comprising both Life and General insurance—has demonstrated broad-based growth, with Life insurance continuing to lead the industry’s expansion. Life insurance now represents 57% of the total… Read more: Sri Lanka’s Insurance Sector Enters Renewed Growth Cycle Amid Rising Demand and Economic Stability

Sri Lanka’s two state banks recently published their financials. It wasn’t compelling reading, but it certainly stirred up a few questions – and honestly, they are all the Big Questions. D B Wijetunga as Finance Minister, wanted to privatise the State Banks; Trade Unionist Rusiripala Tennekoon asked him why. A shocked Minister said, ‘because they… Read more: The State Banks: Is Financial gain the only requirement?

The Urban Development Authority (UDA) is reported to be preparing to lease the Pettah Floating Market to a Japanese investor for USD 160 million, it is reported. According to reports, the investor plans to renovate the shops and the night market within the complex under the current arrangement. Discussions are still ongoing regarding compensation for… Read more: Pettah Floating Market to Japanese at USD 160 Million

Colombo, November 24, 2025 – Sri Lanka’s stock market experienced a sharp downturn today after the Government announced the launch of a new auction for U.S. dollar–denominated domestic bonds, prompting investors to exit equities and move capital into safer fixed-income investments.  The Public Debt Management Office of the Ministry of Finance has opened bidding for… Read more: Government’s Dollar Bond Issue Triggers Major Market Sell-Off