News Today: World Bank Reveals Sri Lanka’s Untapped USD 10 Billion Export Potential

The World Bank Group’s Country Manager for Sri Lanka and Maldives, Gevorg Sargsyan, disclosed that Sri Lanka holds an untapped export potential of approximately USD 10 billion. To realize this potential, Sargsyan emphasized the need for increased investments and the removal of bureaucratic red tape to create a level playing field for both domestic and foreign investors. Sustained reforms are essential to Sri Lanka’s progress, and Sargsyan expressed optimism that the country’s leadership would maintain policy momentum.

Although Sri Lanka has recovered faster than expected from its recent economic crisis, challenges such as poverty, which currently affects 25% of the population, remain. Female workforce participation has also declined, further complicating the nation’s recovery. According to Sargsyan, consistent policy work is needed to overcome these hurdles and realize the country’s export potential.

World Bank Senior Country Economist Richard Walker highlighted the necessity of preparing local industries for increased competition. Non-competitive businesses may struggle against foreign firms, making reforms vital for transitioning and supporting them. Walker stressed that consistent fiscal, monetary, and financial sector policies are crucial to ensuring future economic stability.