Sri Lanka Customs experienced a 16.4 percent decrease in revenue collection for December compared to the estimated target for the month, official data reveals. Despite this shortfall, the agency achieved a more than 20 percent increase compared to its annual target.
In December, Customs collected 276.7 billion rupees, falling short of the estimated target of 331 billion rupees. However, for the entire year, Customs collected a total of 2,551 billion rupees, surpassing the original target of 2,115 billion rupees. This figure also exceeded the revised target of 2,231 billion rupees by 14.3 percent, or 320 billion rupees.
The agency achieved a 64.2 percent increase in revenue compared to the previous year’s 1,553 billion rupees. December was the only month where the monthly target was not met, with all other months witnessing better-than-expected performance.
The increase in Customs revenue is attributed to stronger enforcement, improved valuation practices, and a rebound in import volumes, particularly in the vehicle sector, following years of contraction. During the economic crisis of 2022, imports plummeted as the country implemented restrictions to conserve foreign exchange. However, as reserves stabilized, import controls were relaxed and consumer demand steadily recovered, leading to increased collections from import duties, excise, and other levies.
Officials highlight that tighter monitoring of under-invoicing and misdeclaration of goods has also contributed to the enhancement of state revenue. The combination of increased import activity, currency movements, and stricter enforcement has positioned Sri Lanka Customs as a key revenue source for the Treasury in 2025, providing essential support as the state endeavors to meet fiscal targets under the IMF-supported program.
(Colombo/January 01/2026)
