CBSL Chief urges discipline to drive economic transformation

Tuesday, 17 June 2025 04:02 - - {{hitsCtrl.values.hits}}

Calls for policy consistency, empowered private sector and protection of vulnerable communities
Emphasises unified stakeholder commitment and strong institutions as essential to sustain reforms
Credits IMF and international partners for aiding recovery post-2022 economic crisis
Says stabilisation is only first step; structural transformation is key to lasting growth
Blames crisis on long-term fiscal mismanagement and structural weaknesses

Central Bank Governor

Dr. Nandalal Weerasinghe

Central Bank Governor Dr. Nandalal Weerasinghe yesterday said Sri Lanka’s economic transformation must be driven from within, underpinned by long-term discipline by all stakeholders.

Speaking at a high-level conference titled ‘Sri Lanka’s Road to Recovery: Debt and Governance,’ he called on stakeholders to maintain policy consistency, empower the private sector, and protect the vulnerable.

“Commitment to policy continuity, strong institutions, and unified public undertaking is essential to sustain reforms,” he added.

Dr. Weerasinghe appreciated the International Monetary Fund (IMF) and other international partners for their support in Sri Lanka’s turnaround from a historic crisis that culminated in a sovereign default in 2022.

He attributed the economic collapse to years of fiscal mismanagement and unchecked vulnerabilities.

“Stabilisation was just the first step. The real test lies in sustaining growth through structural change,” Dr. Weerasinghe said.

The Governor highlighted the progress made under the External Fund Facility (EFF) program including taming inflation to single digits, rebuilding external balances with rare current account surpluses and reserve growth, and improving fiscal discipline by narrowing deficits and emerging primary surpluses.

Dr. Weerasinghe also highlighted the importance of governance reforms, pointing to new legislation such as the Central Bank Act, the Public Financial Management Act, and the Anti-Corruption Act as pillars of long-term institutional credibility.

Discover Kapruka, the leading online shopping platform in Sri Lanka, where you can conveniently send Gifts and Flowers to your loved ones for any event including Valentine ’s Day. Explore a wide range of popular Shopping Categories on Kapruka, including Toys, Groceries, Electronics, Birthday Cakes, Fruits, Chocolates, Flower Bouquets, Clothing, Watches, Lingerie, Gift Sets and Jewellery. Also if you’re interested in selling with Kapruka, Partner Central by Kapruka is the best solution to start with. Moreover, through Kapruka Global Shop, you can also enjoy the convenience of purchasing products from renowned platforms like Amazon and eBay and have them delivered to Sri Lanka.