Deputy Minister of Finance and Planning Anil Jayantha Fernando yesterday rejected claims that Sri Lanka’s Government debt had risen by more than Rs. 190 billion, stressing that such reports were based on misinterpretations rather than verified official data. Responding to recent media coverage that cited Central Bank figures, Fernando said the reports had failed to explain the basis for the alleged increase and had quoted figures inaccurately. He emphasised that the country’s debt position must be assessed using the quarterly Debt Bulletin, which provides a detailed breakdown of domestic and foreign borrowings, including loans from bilateral and multilateral partners, individual countries, and commercial sources. Fernando underscored the importance of consulting official records before making claims about debt trends, noting that debt statistics can vary depending on whether they are presented in rupees or in dollar terms. He pointed out that in dollar terms, Sri Lanka’s debt stock has shown a clear decline in recent quarters, reflecting improved fiscal management. Highlighting the broader context, the Deputy Minister said borrowing in itself should not be viewed negatively if debt sustainability is maintained and funds are channelled into productive development. He noted that Sri Lanka’s debt‑to‑GDP ratio had fallen to 95% by the end of 2025, a milestone initially projected for 2032, and further declined to 88.8% by mid‑2026. “This reduction demonstrates stronger management of public finances and reinforces confidence in the Government’s ability to meet its repayment obligations,” he said, adding that there was no uncertainty regarding the servicing of loans. Fernando reiterated that misleading claims risk undermining public confidence and urged media outlets to rely on verified official data when reporting on debt. (Newswire) The post Deputy Finance Minister refutes claims of sharp rise in debt appeared first on Newswire.
