Sri Lanka’s official reserve assets declined by 3% at the end of April 2025, falling to US$6.32 billion, according to the Central Bank of Sri Lanka (CBSL).
Official CBSL data shows the April figure was a drop of US$ 205 million, from the US$6.53 billion recorded at the end of March this year.
Sri Lanka’s government has to make debt repayments, while the Central Bank also has to repay its loans taken from India to suppress interest rates and finance imports in the last currency crisis and default.
It is reported that the repayment of Central Bank debt taken to suppress interest rates in the past will, however, reduce net foreign assets of the bank, even though gross official reserves remain static or drop. (Newswire)