Friday Apr 24, 2026
Friday Apr 24, 2026
Friday, 24 April 2026 05:38 - - {{hitsCtrl.values.hits}}
Treasury Secretary Dr. Harshana Suriyapperuma yesterday said Sri Lanka does not face a technical default following the diversion of funds intended for Australia’s export credit agency, responding to concerns raised by Committee on Public Finance (CoPF) Chairman MP Dr. Harsha de Silva.
Cyber criminals had breached email systems linked to the Finance Ministry External Resources Department and the creditor, redirecting repayments of around $ 2.5 million.
“We are emerging from a default,” Dr. de Silva told reporters. “If the payment did not go to the creditor country, was there a technical default?”
Dr. Suriyapperuma says no. “At a diplomatic level, we have informed the Australian Embassy and the creditor concerned,” Dr. Suriyapperuma told journalists. “We have exchanged information and quickly made them aware.”
“We discussed whether this could be interpreted as a technical default,” Dr. Suriyapperuma said.“We have been advised that Sri Lanka had demonstrated the ability to repay debt, and we have also displayed our intention and willingness to repay by making the payment. By intervening in the middle, cyber criminals have diverted the funds to a different path. We are also discussing with the other party, demonstrating good faith. We are confident that in this event of cyber criminals diverting funds, there is no technical default. That is what our advisers have also informed us.”
According to Dr. de Silva, Australia has inquired about the missing payment. “Five payments were supposed to be made to the creditor country, but when it did not receive them, they had reportedly asked why the payment had not been made,” Dr. de Silva said.
When asked by journalists, Dr. Suriyapperuma said he could not respond due to ongoing investigations.
The Joint Opposition yesterday warned that the hacking and diversion of $ 2.5 million in Government funds could undermine public confidence in the banking system.
Former MP Prof. G.L. Peiris told a media conference that the incident risks eroding trust at a time when stability in the financial system remains critical.
“The last thing which Sri Lanka wants is the people losing their trust in banks in the wake of hacking,” he said.
Former MP Patali Champika Ranawaka said the Government now faces a challenge in maintaining favourable credit ratings following the breach.
He noted that the incident raises broader concerns over financial governance and could have implications for Sri Lanka’s external credibility if not addressed decisively.
