The Employees’ Provident Fund (EPF) recorded a 13.6% increase in net worth to Rs. 4.9 trillion at end-2025, up from Rs. 4.4 trillion a year earlier, according to the Central Bank of Sri Lanka’s Annual Economic Review 2025.
Total contributions to the fund rose 15.6% to Rs. 270.8 billion, while refunds to members and legal heirs declined 6.4% to Rs. 176 billion. The combined shift lifted net member contributions to Rs. 94.8 billion, more than double the Rs. 46.3 billion recorded in 2024.
Total investment income rose 7.6% to Rs. 552.7 billion, with interest income — still the dominant revenue stream — up 11.4% to Rs. 506.9 billion. CBSL said the rebound at the Colombo Stock Exchange also contributed to higher fair value gains and dividend income. Operating expenses-to-gross income stayed contained at 0.6%, while tax expenditure climbed to Rs. 69.5 billion in line with earnings.
The CBSL Governing Board approved a 10.75% interest rate on member balances for 2025. The EPF accounted for 80.5% of total assets in the superannuation sector, retaining its position as the country’s largest retirement savings pool.
A companion Daily FT report showed the fund’s listed equity portfolio rising 27% in market value to Rs. 188.85 billion, from Rs. 148.25 billion, despite the holding shrinking from 65 to 59 listed companies. EPF fully exited Cargills Bank, Ceylon Hotels Corporation, Colombo Dockyard, Jetwing Symphony, LAUGFS Gas (both voting and non-voting) and Sierra Cables, while adding Hemas Holdings with 40 million shares.
Gains were led by Dialog Axiata (Rs. 11.70 to Rs. 29.80), Commercial Bank (Rs. 144.75 to Rs. 200.75), Hatton National Bank (Rs. 319.75 to Rs. 398.50), Cargills Ceylon (Rs. 420 to Rs. 767) and Access Engineering (Rs. 34.50 to Rs. 73.30). LOLC Holdings and Teejay Lanka were notable detractors.
The EPF also increased exposure to corporate debentures and ESG-linked bonds during the year, CBSL said, as part of a strategy to balance returns and risk while stabilising member payouts.
