The Government's Budget returned to surplus in August, posting a cumulative surplus of Rs. 35.4 billion for the first eight months of 2026, after deficits in June and July had pushed the balance into the red, the Finance Ministry's latest Fiscal Review Report showed.
The Free Trade Zone Manufacturers' Association (FTZMA) yesterday urged the Government to offer non-resident shareholders a tax credit equal to the 15% dividend tax if they reinvest profits in Sri Lanka. The proposal was included among a set of Budget 2027 proposals aimed at strengthening the country's foreign exchange earnings.
By Nisthar Cassim The Colombo West International Terminal (CWIT) on Wednesday celebrated a double milestone - the commissioning of its second phase and handling of more than 2 million twenty-foot equivalent units (TEUs). Phase 2 doubles the Terminal's handling capacity to 3.2 million TEUs from 1.6 million. Prime Minister Dr. Harini Amarasuriya was the Chief Guest at the grand celebrations, along with CWIT investors Adani Ports and SEZ CEO Ashwa
Sri Lanka will keep its inflation target at 5%, with a band of 2 percentage points on either side, for the next three years, Central Bank of Sri Lanka (CBSL) Governor Dr. Nandalal Weerasinghe said yesterday. The Government has accepted the CBSL's recommendation. Speaking at the media briefing to announce the latest monetary policy decision, Dr. Weerasinghe said the Government would soon announce the decision through a Gazette Notification. The c
Sri Lanka's economy is going through its most fundamental structural change in seven to eight decades, Frontier Research said, warning that the shift will reward capital-intensive, margin-driven businesses and could leave labour-intensive, volume-based players facing an existential squeeze. "The Sri Lankan economy is fundamentally different from anything we have seen for the last 70 to 80 years," Frontier Research Head of Macroeconomic Advisory
Bank lending against gold grew by more than Rs. 200 billion in the first six months of 2026. That was the second-largest increase of any sub-sector, only just behind financial and business services, Central Bank of Sri Lanka (CBSL) data showed.
New grid batteries will help Sri Lanka absorb surplus solar power nationally, but will not open up rooftop connections where neighbourhood transformers are already full, two Parliamentary Committees heard on 22 and 23 September.
The Government remains committed to raising the monthly personal income tax-free threshold to Rs. 200,000, Economic Development Deputy Minister Nishantha Jayaweera told Parliament yesterday, reiterating its plan to lower tax rates while expanding the tax base.
The National Chamber of Commerce of Sri Lanka (NCCSL) has urged President Anura Kumara Dissanayake to withdraw or reconsider an Energy Ministry directive that scraps net metering and net accounting for rooftop solar. The Chamber warned that the shift to a 'Net Plus' scheme, which it described as financially nonviable, threatens a sector that saves the country an estimated Rs. 20.4 billion a month in fuel imports, just as a power shortfall looms
The International Monetary Fund (IMF) yesterday acknowledged the Sri Lankan economy's resilience, judging by 11 consecutive quarters of growth, but warned risk remains tilted to the downside due to external factors. "Sri Lanka's economy has proved remarkably resilient to successive shocks. Economic activity expanded by 4.2% in 2Q2026, marking 11 consecutive quarters of strong growth. However, Sri Lanka continues to face downside risks from uncer
Fitch Ratings yesterday said it has upgraded Sri Lanka's Long-Term Issuer Default Rating to 'B-' from 'CCC+', with a Stable outlook, citing sustained macro-stabilisation policies and structural reforms that have eased external financing risks and built a degree of resilience to shocks.
Total vehicle registrations fell 13.8% month-on-month (MoM) to 45,569 units in August 2026, the lowest monthly total since November 2025's 43,810 units, as tighter loan-to-value (LTV) limits and an extended
Sri Lanka's real Gross Domestic Product (GDP) for the second quarter of 2026 remained below the level recorded in the same quarter of 2019, seven years and a pandemic, an economic crisis, and a debt default later, according to Department of Census and Statistics (DCS) data on GDP at constant 2015 prices.
Treasury Secretary Dr. Harshana Suriyapperuma yesterday said the economy grew 4.2% in the second quarter of 2026, bringing first-half growth to 4.7%, a performance he described as commendable given the strain the ongoing Middle East war has placed on regional economies.
UN Resident Coordinator in Sri Lanka Marc-André Franche yesterday said Sri Lanka risks undermining the same security and development goals its anti-money laundering and counter-terrorism financing (AML/CFT) rules are meant to serve if those rules are applied as blanket restrictions on civil society rather than through targeted risk assessment. His remarks came as Sri Lanka undergoes it third Mutual Evaluation process on AML/CFT with the Asia-Pac
CT Smith Securities, in an analysis of Central Bank of Sri Lanka (CBSL) data, said that the construction sector is expanding at pace on the ground, but bank lending to the industry is growing more slowly than credit to the rest of the economy. CT Smith Securities Associate Vice President - Research Kasun Herath said real construction sector GDP grew 16.3% in the first quarter and 13.9% in the second, and the CBSL's construction Purchasing Manage
Sri Lanka's economic growth eased to 4.2% in the second quarter of 2026, slowing from the 5.1% expansion recorded in the first quarter, the Department of Census and Statistics (DCS) said in its National Accounts Estimates for the production approach, base year 2015. This is the lowest quarterly growth rate since 2024. Real GDP at constant (2015) prices rose to Rs. 3,029,816 million in 2Q 2026, up from Rs. 2,908,570 million in the corresponding
Advocates compliance-led revenue growth, digital transformation, taxpayer fairness and more competitive business environment
The Opposition Samagi Jana Balawegaya (SJB) last week accused Sri Lanka Customs of running an organised extortion racket against importers, warning that unchecked harassment by officials was driving micro, small and medium enterprises (MSMEs) out of the import trade and threatening jobs, incomes, and tax revenue.
The Sri Lanka Ports Authority (SLPA) is set to launch a long-awaited logistics hub within the next two to three months, incorporating free-zone and bonded warehousing facilities and opening a new avenue for foreign direct investment, SLPA Chairman Dr. Parakrama Dissanayake said.
