Economy

JPMorgan Features Sri Lanka Among Top Weights in New Frontier Debt Index

Published

1 day ago

September 18, 2026

Sri Lanka has been assigned a 7.5% weighting in J.P. Morgan’s new frontier-market local-currency government bond index, placing the country among the largest components of the benchmark.

The Government Bond Index–Emerging Markets Edge, or GBI-EM Edge, is expected to be launched by the end of September and will track close to US$330 billion in government bonds across 26 frontier markets.

Sri Lanka’s 7.5% share is just below the maximum country weighting of 8%.

Vietnam, Egypt, Morocco, Pakistan, Bangladesh and Kazakhstan have each been assigned the maximum 8% weighting, while Nigeria accounts for around 7.4%.

In simple terms, the index acts as a guide for international investors looking at government bonds issued in the domestic currencies of smaller emerging or “frontier” economies.

Sri Lanka’s inclusion means rupee-denominated government bonds will form a relatively large part of that benchmark.

However, a 7.5% weighting does not mean that 7.5% of a fixed amount of foreign investment will automatically flow into Sri Lanka. Rather, investors and fund managers who follow or compare their portfolios against the index may use that weighting as a reference when deciding how much exposure to hold.

Economy

Sri Lanka’s workers’ remittances exceed USD 6 billion in first eight months

Published

3 days ago

September 16, 2026

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Sri Lanka has received USD 748.6 million in workers’ remittances in August 2026, according to the Central Bank of Sri Lanka (CBSL).

According to a Central Bank report, the figure marks an increase compared to the corresponding month last year.

Sri Lanka received USD 680.8 million in remittances from migrant workers in August 2025.

Meanwhile, total remittances received from Sri Lankan migrant workers during the first eight months of 2026 amounted to USD 6.131 billion, the report said.

This also marks an increase compared to the corresponding period last year, with Sri Lanka having received a total of USD 5.116 billion in remittances during the first eight months of 2025.

Economy

Sri Lanka’s economy grows 4.2% in second quarter of 2026

Published

4 days ago

September 15, 2026

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Sri Lanka’s economy grew by 4.2 percent in the second quarter of 2026, with strong performances in industrial activities helping offset a contraction in agriculture and slower growth in the services sector, according to the Department of Census and Statistics (DCS).

The DCS said the country’s gross domestic product (GDP) at constant 2015 prices increased to Rs. 3.03 trillion in the April-June quarter of 2026, from Rs. 2.91 trillion in the corresponding quarter of 2025.

GDP at current prices rose by 11.3 percent to Rs. 8.25 trillion, compared with Rs. 7.41 trillion recorded in the second quarter of 2025.

Industrial activity emerged as the main driver of growth, expanding 7.3 percent, compared with 5.7 percent growth recorded during the same quarter last year. Construction and mining and quarrying recorded particularly strong performances, growing by 13.9 percent and 17.4 percent, respectively.

Meanwhile, manufacturing activity expanded by 3.2 percent, supported by higher production of wood and wood products, non-metallic mineral products, furniture, machinery and equipment, and basic metal and fabricated metal products.

However, several manufacturing industries recorded declines, including the production of coke and refined petroleum products, rubber and plastic products, and textiles, wearing apparel, leather and related products.

The services sector grew by 2.7 percent during the quarter, slowing from the 4.0 percent expansion recorded in the second quarter of 2025, according to the Department of Census and Statistics.

Economy

First project under 300MW solar programme launched in Sri Lanka

Published

5 days ago

September 14, 2026

admin

Sri Lanka has officially launched the first project under a programme aimed at adding 300 megawatts (MW) of solar power to the national electricity grid.

The project was inaugurated in Veyangoda under the patronage of Minister of Ports, Civil Aviation and Energy Anura Karunathilaka.

The Veyangoda project is the first of a series of ground-mounted solar power projects planned across the country, with a combined target capacity of 300MW. The project itself has an installed capacity of 3MW.

The programme forms part of its broader strategy to expand renewable energy and reduce the country’s dependence on imported fossil fuels, according to the government. Private-sector participation is also being encouraged in selected areas to accelerate the development of renewable energy projects.

Sri Lanka has set a target of meeting 70% of its energy requirements through renewable sources by 2030 and achieving carbon neutrality by 2040. The country’s renewable energy policy also includes a commitment, in line with the principles of COP26, to refrain from developing new coal-fired power plants.

The government is also working to progressively strengthen the national electricity grid so that it can accommodate a greater share of clean and renewable energy.