Sri Lanka Has Reached Pre-Crisis Economic Levels: Dr Nandalal Weerasinghe

30-Aug-2026

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Sri Lanka’s economy has recovered from the country’s worst economic downturn and has now reached pre-crisis levels, Central Bank Governor Dr Nandalal Weerasinghe has said.

He said strong public finances, an improved fiscal balance and progress towards debt sustainability had been the key pillars of the recovery.

Elaborating, he said the economic recovery achieved within a relatively short period, compared with the circumstances that forced Sri Lanka to default on its sovereign debt for the first time in 2022, was a significant achievement worthy of international recognition.

Amid the hardships faced by the public due to import and fuel supply disruptions caused by foreign exchange shortages, inflation and currency depreciation, economic stability was restored through measures including rebuilding foreign exchange reserves, controlling inflation and restructuring debt.

In particular, the Government’s revenue-to-GDP ratio has increased by nearly 100 per cent over the past three years, providing significant support for maintaining fiscal discipline.

He further said discussions were under way with international credit rating agencies and expressed confidence that Sri Lanka’s sovereign credit rating would be upgraded further in the near future.

This would help restore the confidence of global investors and position Sri Lanka as a strong example for countries seeking to recover rapidly from a severe economic crisis, he said.