AHAMED

[Gayan Lakmal Alwis, CFA @theGayan]

IMF cuts Sri Lanka's medium-term Foreign Reserve projections

With recent Middle East tensions and their ripple effect on Sri Lanka, IMF has revised its projections for Gross International Reserves (GIR).

Contrary to what many experts and the media suggest, GIR is not a target. It's a projection made by @IMFNews. The actual target is not GIR, but NIR (Net International Reserves).

Summary of the GIR Projection Revisions

• Good: 2025 actual GIR was at USD 6,838 Mn, USD 288 Mn (+4%) above the projection
• Bad: 2026 GIR revised down by USD 239 Mn (-3%) to USD 8,645 Mn
• Ugly: 2027 GIR revised down by USD 1,592 Mn (-12%) to USD 11,779 Mn

Despite a higher 2025 starting base, 2026 is revised down and 2027 cut deeper still.

IMF sees reserves rising, but at a slower pace.

This is a stark reminder of how a single external shock can ripple through an economy for years to come.

If you are interested to know the story behind the cut in GIR, pls comment below. I will write a follow-up post, if there's significant interest.

#lka #IMF

[Indoosan @Indooshan]

Quietly, Sri Lanka is witnessing a new wave of infrastructure and economic recovery efforts across the country.

More than 1,780 small, medium and large scale projects that had been halted indefinitely in 2022 many originally initiated under previous governments are now being revived and completed based on priority needs. For the first time, funding has been systematically allocated to continue these projects instead of leaving them abandoned.

At the same time, Sri Lanka has secured another US$695 million from the IMF following the completion of the fifth and sixth reviews of the country’s reform programme. The IMF stated that Sri Lanka’s reform performance remains “generally strong” despite global economic pressures, while also cautioning that the Middle East conflict and Cyclone Ditwah could still pose risks to the country’s recovery.

In addition, the government is expected to allocate nearly Rs. 2,000 billion (around US$6.5 billion) for development by 2027 without relying on new foreign loans.

Among the major projects planned are:

The Rambukkana–Galagedara expressway, expected to become the first high-speed road through Sri Lanka’s hill country.

The Kurunegala–Dambulla expressway, a strategically important link connecting the North and East.

Both projects are expected to be funded through local revenue rather than external borrowing.

Sri Lanka’s railway sector is also preparing for a historic transformation. With support from the Asian Development Bank, work is expected to begin in 2027 on the Ragama–Maradana–Panadura and Maradana–Makumbura elevated electrified railway lines. This would introduce Sri Lanka’s first electric railway system and mark the transition from Broad Gauge to Standard Gauge rail infrastructure.

A new railway headquarters and control centre near Elphinstone Theatre in Maradana is also nearing completion.

Meanwhile:

The Negombo fishery harbour is being redeveloped to improve both tourism and the livelihoods of fishing communities.

Modern Multi-Modal Transport Hubs are being developed in Colombo Fort, Kandy Goodshed and Anuradhapura with improved accessibility, including facilities for persons with disabilities.

Colombo’s public transport network is set for a major upgrade with 122 new low-floor, double-door AC buses under the Metrobus service from August onwards.

Around 100 railway stations across the country are being renovated and modernised with better passenger facilities.

The years 2026, 2027 and 2028 could become defining years for Sri Lanka’s infrastructure sector, with several major projects expected to progress or be completed, including:

Kadawatha–Meerigama Expressway
Pothuhera–Galagedara Expressway
Kurunegala–Dambulla Expressway
Kelenigama–Horana–Ingiriya Expressway
Getambe Flyover in Kandy
Peradeniya–Kandy double railway track
Bandaranaike International Airport Terminal 2
Colombo Port’s WCT and ECT-2 developments

Whether viewed with optimism or caution, Sri Lanka appears to be entering a period where economic stabilisation and long-delayed infrastructure ambitions are gradually moving forward together once again.

[Slorgen @ForzenStur]

April exports rose 6%. Merchandise alone rose almost 10%.

Honestly considering everything that has been happening, this is reassuring news.

[EconomyNext Sri Lanka @economynext]

Sri Lanka’s merchandise exports rose 9.87 percent to 1,063.77 million dollars in April 2026 from a year ago, driven by coconut-based products, rubber-based products, processed food and beverages, and electrical and electronic components, data from the export promotion office showed.
https://t.co/40PVLSR9Ti

[AHAMED @bmazee]

@canusanka 🤣🤣🤣

[Indoosan @Indooshan]

A Landmark Moment in Sri Lanka’s Energy Transition

Today marks a significant milestone that deserves to be remembered in Sri Lanka’s energy history.

Sri Lanka’s first commercial scale Battery Energy Storage System (BESS) has arrived at the Port of Colombo, representing an important step in the country’s renewable energy transition and grid modernization efforts.

The shipment which arrived, is part of Sri Lanka’s first utility scale energy storage project being implemented. Initial project sites have been allocated in Galle and Matara, and integration with the national grid is expected in the coming months.

For years, Sri Lanka’s power system has faced challenges balancing intermittent renewable generation and peak electricity demand fluctuations. Battery Energy Storage Systems (BESS) offer a practical solution by improving grid stability, resilience, and dispatchability while supporting cleaner and more reliable energy supply for households, businesses, and the broader economy.

The technology provider for this project is Sungrow Power Supply, one of the world’s leading energy storage manufacturers.

Beyond grid stabilization, this development aligns with broader discussions around Sri Lanka’s future energy ecosystem including electric mobility, green industrial development, and emerging opportunities in Green Hydrogen, Green Ammonia, and Green Urea initiatives.

Sri Lanka’s energy transition journey may have faced delays and missed opportunities in the past, but developments like this show that the country is steadily moving towards a more sustainable, resilient, and future ready energy landscape.

This is not just an infrastructure project; it is a signal of where Sri Lanka is heading.

[AHAMED @bmazee]

@H_S_KandyHamu Here is the reply
https://t.co/AjSnlCiHTF

[Gayara De Silva @gayaradesilva]

“While the public narrative frequently defaults to panic, a rigorous analysis of the underlying data reveals a far more complex reality. The current currency slide is not a repeat of 2022’s systemic collapse. Instead, it is the product of a deliberate structural shift toward an open economy, aggressive domestic import surges, severe external geopolitical shocks, and a catastrophic institutional procurement failure in the national energy sector.”

Highly recommend a read.
Sum up in screenshots below.

[Yudhanjaya Wijeratne @yudhanjaya]

It's bizarre how this string of financial failures seem to be popping up just this year. Either
a) the state financial apparatus is staffed by monkeys
b) bad processes were kept well-hidden until now (but why break now?)
c) or there's something odd going on.

[Sri Lanka Tweet 🇱🇰 @SriLankaTweet]

SriLankan Airlines ✈️ is investigating two fraud cases involving a compromised UAE service provider email (AED 974,000 payment) and alleged fund misappropriation at its Chennai office (INR 22M).

✈️AED 974,000 payment in the UAE was made after a Dubai-based service provider’s email account was allegedly compromised and bank details altered by a third party.

✈️INR 22 million was allegedly misappropriated by finance department employees at the airline’s Chennai office through fraudulent invoice and payment alterations.

The airline says both matters have been reported to authorities in Sri Lanka, the UAE, and India, with recovery action and investigations ongoing.

@flysrilankan

SriLankan Airlines Clarification on Reports of Fraudulent Payments Linked to a Compromised Service Provider Email Account in the UAE and Misappropriation of Funds in India

SriLankan Airlines wishes to clarify reports concerning two transactions, an erroneous payment made linked to a compromised email account of a service provider in the UAE, as well as misappropriation of company funds in India.

SriLankan Airlines was informed by a service provider based in Dubai, United Arab Emirates, that it had not received funds for a payment of AED 974,000 made to them. It was subsequently discovered that the said service provider’s email account had been compromised by a third party, who had altered the bank account details and provided requested additional documentary proof through the established official communication channels and misled SriLankan Airlines into believing it was dealing directly with the legitimate service provider.

SriLankan Airlines took immediate action to prevent any further payments to the said account and reported the matter to the authorities in the United Arab Emirates and the Criminal Investigation Department in Sri Lanka. Investigations are currently ongoing in Sri Lanka and the United Arab Emirates. SriLankan Airlines reiterates that the payment was made based on the established email instructions and supporting documentation with authorised signatures that were later found to have fraudulently originated from the compromised service provider’s account. Further, SriLankan Airlines disclaimed and denied any liability to the service provider for non-receipt of funds by them as this situation has arisen due to compromise of their email system which was entirely outside control of SriLankan Airlines.

With regard to the misappropriation of funds at SriLankan Airlines’ office in Chennai, India, the Airline wishes to inform that a few employees, all Indian nationals working in the finance department in Chennai, are alleged to have misappropriated a total of INR 22 million over a period of time by fraudulently altering invoices, payment details and signatures. The Airline’s Head Office in Colombo detected unusual payments and initiated an internal investigation.

Following the internal investigation, the employees concerned ceased reporting to work and appropriate action has been taken against the said employees. SriLankan Airlines immediately referred the matter to the relevant Indian law enforcement authorities and investigations are currently ongoing and action will be taken to recover the loss.

(AI Image)

[Ravinda Senarath @ravinda88]

ආණ්ඩුව මොකක්ද කරේ කියල අහන අයට Paypal වලින්ම උත්තර

#paypal #srilanka #lka

[CBSL @CBSL]

𝐄𝐱𝐩𝐞𝐫𝐢𝐞𝐧𝐜𝐢𝐧𝐠 𝐝𝐢𝐟𝐟𝐢𝐜𝐮𝐥𝐭𝐢𝐞𝐬 𝐰𝐢𝐭𝐡 𝐲𝐨𝐮𝐫 𝐛𝐚𝐧𝐤 𝐨𝐫 𝐟𝐢𝐧𝐚𝐧𝐜𝐞 𝐜𝐨𝐦𝐩𝐚𝐧𝐲?

The Central Bank of Sri Lanka provides a structured process for lodging complaints.

Begin by contacting your financial institution directly, and if unresolved within 21 days, submit your complaint and supporting documents via https://t.co/a0gUcNg00P.

Exclusively for the customers of financial institutions regulated by CBSL.

#CBSL #FinancialComplaints #ConsumerProtection

[Slorgen @ForzenStur]

Sri Lanka is also naturally facing fertiliser supply issues due to the Middle Eastern conflict.

But our media and opposition have already started turning this global issue into a political one.

This constant mud slinging is tiring.

[Yasas @Yasas101]

And look who's the first to retweet a stupid post like this. Anyone with two brain cells would understand that the only thing preventing PayPal was policy and legal obstacles.
This administration finally cleared them after 12+ years of stalled talks under previous governments. That’s why it launches on 15 May.

[Yasas @Yasas101]

Finally! PayPal support is here in Sri Lanka thanks to the current government’s efforts. Previous governments promised for over 15 years but couldn’t get it done. Massive win for freelancers, SMEs & our digital economy! 🇱🇰💳

#PayPalSL

[Numbers.lk @numberslka]

DOES SRI LANKA 🇱🇰 CHANGE VAT FROM 18% TO 20.5%?

⭕ Sri Lanka 🇱🇰 has NOT changed the general VAT (Value Added Tax) rate from 18% to 20.5%. The standard VAT on goods and services remains at 18%.

⭕ The 20.5% rate applies only to financial services, not to everyday consumer goods or general services.

⭕ Earlier tax structure on financial services included:
• VAT: 18%
• Social Security Contribution Levy (SSCL): 2.5%

⭕ The new system combines VAT and SSCL into a single 20.5% rate.

#SriLanka #VATAmendment

[Danuka Peiris (DP) @danukalive]

VAT on financial services will increase to 20.5% with effect from 1 July 2025.

The real story: taxes on financial services currently consist of 18% VAT plus a 2.5% SSC levy, totaling 20.5%. This will be replaced by a single VAT of 20.5%.

It is always good to remove levies, cesses, and taxes like NBT and move toward a single tax with clearly defined thresholds and guidelines. This is also agreed under the IMF program.

[Market News🇱🇰 @MarketNewsLK]

#SriLanka’s Railway Revolution Begins

🚄 President #AKD has greenlit a game-changing transformation of #Colombo’s suburban rail network.

🚄 Starting early next year, Sri Lanka will introduce electric trains and convert key lines to the modern international Standard Gauge — replacing the old broad gauge for faster, smoother, and far more efficient travel.

🚄 Key routes to be electrified:

🛤️ Maradana to Makumbura (Kelani Valley)

🛤️ Colombo Fort to Ragama (Main Line)

🛤️ Colombo Fort to Panadura (Coastal Line)

This ambitious project aims to deliver a modern, high-speed suburban rail system worthy of the 21st century

[Kavi Senu @KaviSenu]

Travel smarter. Travel easier. Travel better. 🚍✨

With LMT-GO, everything you need is just a tap away.
No more waiting. No more guessing.

📲 Download now and take control of your journey!

Google Play - https://t.co/hAOmgjGKih

App Store - https://t.co/cCpjmMtTfN

#LMTGO #SmartTravel #SriLanka #TransitApp #BusTracking #TravelEasy

[Market News🇱🇰 @MarketNewsLK]

#SriLanka Expressways to Go Cashless

🛣️ RDA to launch Multi-Lane Free Flow (MLFF) toll system

🛣️ Barrier-free, drive through without stopping as a result of automatic number plate recognition + direct bank deduction

🛣️ Toll payments can still be made using credit or debit cards, during the initial phase
-RDA DG