The present government will continue to govern the country in 2028 and will honor the debt serving commitments of Sri Lanka, President Anura Kumara Dissanayake said while delivering the 2026 Budget in Parliament.
President Dissanayake stated that the government is preparing a program to secure debt sustainability.
“Sri Lanka is well on the way to achieving debt sustainability, with a program to reduce the debt-to-GDP ratio to 95 per cent”, the President stated.
President Anura Kumara Dissanayake stated that Sri Lanka’s foreign debt payments for this year amount to USD 2,435 million, of which USD 1,948 million has been settled as of September 30.
Accordingly, a further USD 487 million is scheduled to be paid by December 31 this year, reflecting an increase of USD 761 million compared to 2024, the President noted.
He further stated that the foreign debt service payments due in 2028 are estimated at USD 3,259 million, an increase of only USD 824 million compared to 2025.
The President said that global rating agencies, including Fitch Ratings, Moody’s and S&P have raised Sri Lanka’s credit ratings gradually, due to the progress achieved.
President Dissanayake added that the debt restructuring task has been almost completed and that the confidence of local and foreign investors has been further strengthened.
President Anura Kumara Dissanayake also said that the incumbent government has already paid a larger share of debt in 2025 compared to last year.
Meanwhile, Sri Lanka has spent US$ 1.3 billion on vehicle imports by October 31, the President added.
According to the President, debt of SriLankan Airlines, which has now increased to US$ 210 million, still needs to be restructured and that the government expects to restructure that before December this year.
President Dissanayake made these remarks while delivering the 2026 Budget speech.
President Anura Kumara Dissanayake commenced delivering the 2026 Budget speech in Parliament at around 1:35 p.m.
Earlier today (07), the Cabinet of Ministers granted approval for the 2026 Budget proposals and the presentation of the second reading of the Appropriation Bill in Parliament.
This is the National People’s Power (NPP) government’s second budget proposal.
Following the presentation of the budget speech, the debate on the second reading of the 2026 Appropriation Bill will commence tomorrow (08).
A total of six days have been allocated for the debate on the second reading of the 2026 Budget while the vote on the second reading is scheduled to be held at 6.00 p.m. on November 14.
The Committee Stage debate will be held for 17 days from November 15 to December 05.
The third reading vote is scheduled to be held at 6.00 p.m. on December 05.
The Budget Debate is scheduled to be held daily during the Budget Period, except on public holidays and Sundays, according to the Department of Communication of Parliament.
Tune into TV Derana, Ada Derana 24 and the Ada Derana YouTube channel at 01.30 p.m. today for the live broadcast of the President’s Budget Speech.
