The Central Bank of Sri Lanka (CBSL) released its Policy Agenda for 2026 and Beyond on January 8, 2026, emphasizing public-oriented measures to build resilience, promote inclusion, and ensure stability benefits reach households and communities amid ongoing reforms.
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Strengthening Resilience Against Shocks and Disaster Impacts
The agenda reflects on Cyclone Ditwah’s severe late-2025 devastation, expressing sympathy for affected families and highlighting the necessity of macroeconomic stability for rapid shock absorption and recovery. While central banks have limited tools against supply-side disruptions from extreme weather, the CBSL calls for national prioritization of disaster preparedness and long-term resilience measures involving all stakeholders to protect livelihoods and contain inflationary pressures.
Transparency, Consumer Protection, and Financial Literacy Efforts
Operating under flexible inflation targeting at 5 percent, the CBSL maintains accountability through public reports on deviations submitted to Parliament, helping anchor household inflation expectations as prices are projected to reach target levels by mid-2026. Enhanced market conduct regulations promote fairness, transparency, and accountability in financial services, with proactive complaint resolution, investigations into unauthorized schemes, and awareness campaigns empowering consumers against unfair practices.
The ongoing Financial Literacy Roadmap advances public financial well-being, while Phase II of the National Financial Inclusion Strategy, set for formulation in 2026, will target underserved populations with improved access to quality services, stronger consumer protection, and integration of inclusive green finance.
Retirement Security, Digital Accessibility, and Broader Safeguards
Managing nearly 22 million accounts in the Employees’ Provident Fund (EPF), the CBSL plans major digital upgrades including paperless processes, expanded electronic contributions, and a unified e-system to speed up payments and enhance transparency. Prudent investment diversification will continue to safeguard long-term retirement savings.
Payment system improvements under the 2025–2027 roadmap will boost accessibility and safety for everyday transactions. Preparations for the 2026 AML/CFT Mutual Evaluation stress coordinated efforts to avoid grey-listing consequences that could raise costs for remittances, transactions, and overall economic activity.
Policy coordination through dedicated councils and parliamentary engagements ensures coherent macroeconomic responses that prioritize public interests.
This public-focused vision supports a transition to inclusive, resilient growth where stability directly improves household security and prosperity.
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