š Sri Lanka Capital Expenditure Update: Under 30% Spent Through Sept 2026
Sri Lanka has spent less than 30% of its total capital expenditure allocation for 2026 during the first nine months, according to government sources. ⢠Overall Figures: Out of the allocated Rs. 1,380 Bn for 2026 capital spending, only approximately Rs. 385 Bn has been utilized through September 2026. ⢠Government Response: The government expects to fully utilize the remaining allocation before year-end, noting that around 70% of capital spending is finalized in the final quarter (November-December). ⢠Economic Context: Analysts highlight that chronic capital under-utilization stems from procurement disputes, bureaucratic delays, and technical deficits. Persistent delays in infrastructure funding (transport networks, power grids, digital public systems) risk stifling productivity, long-term GDP potential, and investor confidence during post-default recovery.