📈 CBSL Signals Moderation in Private Sector Credit Growth

• Overall Expansion: Private sector credit expanded by 27.8% YoY during the first five months of 2026, representing an increase of Rs. 824 Bn. Total outstanding credit to the private sector reached a record Rs. 11.04 Tn in May, up 2.2% MoM from Rs. 10.8 Tn in April. • Sector Breakdown (Based on May outstanding credit): - Industry: ~37% of total credit - Services: 30.5% - Personal Loans & Advances: 24% - Agriculture & Fisheries: ~9% • Drivers & Policy Impact: CBSL Governor Dr. Nandalal Weerasinghe noted that growth was broad-based, driven by construction, wholesale and retail trade, financial services, and consumer-related lending, reflecting broader economic recovery. The CBSL expects lending pace to ease as May's 100-basis-point policy rate hike and related policy measures gradually feed into the real economy. [Dr. Nandalal Weerasinghe on Sri Lanka's Economic Reset](https://www.youtube.com/watch?v=ria4ZeW6ajw) This discussion provides context on Central Bank Governor Dr. Nandalal Weerasinghe's strategy for maintaining monetary discipline and managing demand pressures in Sri Lanka.