Former President Ranil Wickremesinghe has warned that Sri Lanka must build its foreign exchange reserves to USD 15 billion before foreign debt repayments resume in 2028, cautioning that failure to meet the target could push the country into another severe economic crisis.
Speaking at the launch of former Minister Ranjith Siyambalapitiya’s book, “Yudha Dekakata Ura Dee”, in Colombo, Wickremesinghe said the grace period secured through Sri Lanka’s foreign debt restructuring would come to an end, requiring the country to resume debt repayments from 2028.
While Siyambalapitiya’s book reflects on two major challenges faced in the past, Wickremesinghe described the looming debt repayment challenge as the country’s “third war.”
He warned that losing this economic battle could result in Sri Lanka facing bankruptcy once again.
Wickremesinghe said the country must increase its foreign exchange reserves to around USD 15 billion, a level he said was expected under the International Monetary Fund (IMF) programme, to prepare for the resumption of external debt repayments.
He stressed that Sri Lanka’s immediate focus should be on overcoming this financial challenge rather than becoming consumed by constitutional amendments or other political issues.
The former President also expressed concern that there was still insufficient discussion, both within and outside Parliament, about how Sri Lanka would meet the economic challenges arising from the resumption of debt repayments in 2028.
