Former UNP Deputy Leader and Parliamentarian Ravi Karunanayake has warned that although Sri Lanka’s economy may appear stable on paper, many people continue to struggle with their day-to-day expenses.
Karunanayake said that while fuel and gas queues have disappeared, the purchasing power of ordinary citizens has been severely weakened, making it difficult for many households to afford essential goods and services.
He noted that Sri Lanka has completed around 94% of its public external debt restructuring, but cautioned that the period following the conclusion of the current IMF programme in mid-2027 could present greater economic risks.
The MP said it is technically possible for Sri Lanka to reach its official foreign reserve target of US$8 billion by the end of 2026.
He attributed this possibility to measures such as mandatory foreign exchange conversion requirements imposed on exporters and higher import-related taxes, including the extended 50% surcharge on vehicle imports.
However, Karunanayake warned that achieving reserve targets through such measures does not necessarily mean that the underlying economic pressures facing households have been resolved.
