⚠️ Fiscal Oversight Risks US$ 70 M Debt Relief Under GLB

• Think tank Verité Research warns Sri Lanka risks losing US$ 70 million in debt relief tied to its Governance-Linked Bond (GLB) due to a fiscal planning oversight. • The relief is conditional on meeting specific revenue-to-GDP targets: 15.3% in 2026 and 15.4% in 2027. • Government’s current projections, while aligned with IMF expectations, fall slightly below the GLB thresholds, projecting 15.2% for 2026 and 15.3% for 2027. • This small gap in the projected revenue ratio is sufficient to prevent the benefit from being unlocked. • Verité Research suggests adjusting the revenue targets in the Budget to directly match the higher GLB requirements.