Sri Lanka’s Current Account Surplus Masks Brewing External Crisis - LNW Lanka News Web

The Central Bank Optimism Masks Sri Lanka’s Post-Cyclone Reality

Sri Lanka has just endured one of the worst natural disasters in its post-independence history. Cyclone Ditwa has inflicted devastation across livelihoods, infrastructure, agriculture, and public finances, with reconstruction costs now estimated at USD 4.1 billion. Yet, at this moment of national trauma, the Governor of the Central Bank, Nandalal Weerasinghe, has chosen to frame catastrophe as an opportunity for “stronger growth” and fiscal stim…

Sri Lanka’s Current Account Surplus Masks Brewing External Crisis - LNW Lanka News Web

Sri Lanka’s external finances showed a glimmer of hope toward the end of 2025, but experts warn that the country’s balance of payments (BOP) could face renewed stress in 2026.  According to the Central Bank of Sri Lanka (CBSL), the current account returned to a small surplus of USD 81.7 million in November, reversing deficits in September and October. Yet beneath this headline figure, structural vulnerabilities rising import bills, cyclone-relat…