📈 Sri Lanka Gross Public Debt Reaches Rs. 32.98 T in 2Q 2026

Sri Lanka’s gross public debt increased by Rs. 744 Bn (+2.3% QoQ) in 2Q 2026, reaching Rs. 32.98 Tn. However, due to exchange rate shifts, total debt in US$ terms fell 4.2% QoQ to US$ 97.95 Bn. • Overall Debt Metrics: • Gross Public Debt: Rs. 32.98 Tn (US$ 97.95 Bn) • Central Government Debt: Up 2.6% to Rs. 32.00 Tn (US$ 95.05 Bn) • Exchange Rate Applied: Rs. 336.66 per US$ (vs. Rs. 315.19 in 1Q) • Domestic vs. External Breakdown: • Domestic Debt: Eased 0.9% to Rs. 19.20 Tn. Treasury Bills dropped by Rs. 480 Bn to Rs. 2.37 Tn, while Treasury Bonds grew by Rs. 254 Bn to Rs. 16.07 Tn. • External Debt: Rose 1.4% (+US$ 540 Mn) to US$ 38.01 Bn (Rs. 12.80 Tn). Comprises multilateral debt (38%), commercial debt (34%), and bilateral debt (28%). • Key Creditor & Sector Highlights: • Multilateral & Bilateral: IMF exposure expanded by US$ 686.6 Mn to US$ 2.62 Bn. Bilateral debt rose to US$ 10.80 Bn, led by increases in loans from Korea (US$ 514.3 Mn) and China (US$ 5.01 Bn). • Commercial Debt: Contracted to US$ 12.41 Bn, with International Sovereign Bonds falling to US$ 10.01 Bn. • State-Owned Enterprises (SOEs): Government-guaranteed SOE debt dropped 12% to US$ 2.89 Bn (Rs. 971 Bn), supporting public sector balance sheet consolidation. • Debt Restructuring: Debt servicing resumed for finalized agreements, while negotiations with creditors across 13 countries remain ongoing as of end-June.