Deputy Minister of Finance and Planning Dr. Anil Jayantha Fernando told Parliament on Thursday that the government is confident of reaching a US$9 billion foreign reserve target by the end of 2026, and set out a strategy of diversifying foreign exchange sources ahead of heavy external debt obligations.
He was responding to MP Ravi Karunanayake, who asked about the government’s plan to attract foreign direct investment and meet its economic targets. Karunanayake raised concerns over future financing needs, noting that Sri Lanka faces around US$3.9 billion in foreign debt repayments in April 2028.
Fernando said the government is focused on increasing net foreign currency inflows through investment, exports, remittances and other sources, and is looking beyond traditional earners. Apparel remains important, he said, but value addition in some sectors is relatively low, so the government is identifying new areas capable of higher returns.
He also pointed to overseas labour markets, saying the government is taking a strategic approach to placing workers where they can earn more foreign exchange. Sri Lankan expatriates sent more than US$5 billion in remittances in the first seven months of 2026, he said.
The outlets differ on the target
Ada Derana reported the year-end figure as US$9 billion. NewsFirst, reporting the Deputy Minister’s case against opposition warnings the same day, put the target at US$8 billion by the end of 2026 — the same number two deputy ministers used on Wednesday. Neither outlet flagged a revision, and the discrepancy is unresolved.
The 2028 figures diverge too. Karunanayake cited US$3.9 billion due in April 2028; NewsFirst reported Fernando putting the highest annual requirement at about US$3.8 billion in 2028; Daily Mirror quoted him giving US$2.8 billion for that year.
Repayment plan to 2030
Daily Mirror, reporting Wednesday’s sitting, said Fernando told the House the government has drawn up debt repayment plans through 2030 and that no Domestic Dollar Bonds will be outstanding after 2028.
“After that, we will only have bilateral, multilateral and International Sovereign Bond obligations,” he said, giving US$2.8 billion for 2028, US$3 billion for 2029 and US$3.2 billion for 2030.
NewsFirst reported him citing roughly US$900 million in expected current account inflows, about US$350 million from the International Monetary Fund in December, and a further US$1 billion in FDI through the Board of Investment and Colombo Port City over six months. He said net foreign assets in the banking sector had reached Rs. 1,265 billion by June, about US$3.8 billion.
The exchanges continue the government’s rebuttal of former President Ranil Wickremesinghe, who warned of a post-2028 crunch and said reserves would need to reach about US$15 billion.
