Deputy Minister Chathuranga Abeysinghe has rejected former President Ranil Wickremesinghe's concerns about a potential economic crisis after 2028, arguing that Sri Lanka's debt servicing capacity and foreign reserve accumulation are on track.
Deputy Minister Chathuranga Abeysinghe has responded to warnings from former President Ranil Wickremesinghe about the possibility of another economic crisis, stating there is no reason for Sri Lanka to face bankruptcy again. Wickremesinghe had cautioned that rising debt repayments after 2028 could pose significant challenges, recommending that the country build foreign exchange reserves to approximately US$15 billion as a precautionary measure.
Wickremesinghe expressed concern about the gap between projected reserves and the target amount, noting that the Central Bank expects reserves to reach around US$8 billion by end-2026, leaving a shortfall of approximately US$7 billion. He emphasized that temporary relief on debt repayments should not be mistaken for a permanent resolution of economic difficulties.
Abeysinghe countered these claims by presenting a different picture of Sri Lanka's fiscal trajectory. According to the Deputy Minister, the country managed debt obligations of US$3.9 billion in 2025 while simultaneously building reserves, with payments expected to decrease to US$3.7 billion in 2026 and further decline to US$2.7 billion in 2027. He characterized Wickremesinghe's statements as misleading regarding the nation's debt obligations.
The Deputy Minister pointed to Central Bank figures presented to investors as evidence that Sri Lanka can continue servicing debt while strengthening its reserve position. He also highlighted expectations of increased remittances, exports, investments, and tourism earnings in 2026, suggesting these revenue sources would support both debt repayment and reserve accumulation. The exchange underscores a fundamental disagreement between the two officials over Sri Lanka's economic trajectory and vulnerability to future fiscal stress.
