US $9bn reserve target in sight: Govt
The Government is confident of achieving its target of building Sri Lanka’s foreign reserves to US$9 billion by the end of 2026, Deputy Finance Minister Anil Jayantha Fernando told Parliament. He said the positive trend in workers’ remittances was expected to play a key role in strengthening the country’s external finances. Sri Lankan migrant workers […]
The Sri Lankan government is optimistic about reaching its goal of increasing foreign reserves to US$9 billion by the end of 2026, Deputy Finance Minister Anil Jayantha Fernando revealed in Parliament. He attributed this positive outlook to the increasing flow of workers' remittances. In the first seven months of this year alone, Sri Lankan migrants sent over US$5 billion in remittances, according to Fernando, underscoring the crucial role of overseas employment in the country's foreign exchange earnings.
When questioned about the government's strategy, Fernando emphasized the focus on increasing net foreign exchange inflows through investments, exports, and remittances. The administration is also working towards diversifying the sources of foreign exchange and attracting more foreign direct investment (FDI), especially given the looming foreign debt repayments in 2028. Fernando stated that Sri Lanka is anticipated to have foreign debt repayments amounting to approximately US$3.9 billion in April 2028.
To mitigate this financial strain, the government is devising financial strategies aimed at boosting foreign exchange earnings from non-traditional sectors. Furthermore, plans are in motion to guide Sri Lankan workers towards international labor markets with higher earning potential, Fernando added. These initiatives are designed to bolster Sri Lanka's external sector, diversify foreign exchange sources, and ensure the nation's capacity to fulfill its future debt obligations.
Written by urgent.news from The Island Sri Lanka's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
