The country’s foreign reserve position improved again in May, offering another sign of strengthening external finances.
According to the Central Bank of Sri Lanka, official reserve assets increased to USD 6.873 billion in May 2026 from USD 6.766 billion in April.
That represents a monthly increase of 1.6%.
Why the Increase Matters
A stronger reserve position generally provides greater flexibility in managing external payments and responding to global economic shocks.
The latest figure also includes proceeds from the People’s Bank of China currency swap arrangement, according to the Central Bank.
Foreign reserves became a major focus during the economic crisis when shortages of foreign currency affected imports, fuel supplies, and essential goods. Since then, policymakers have worked to rebuild reserve levels and improve external stability.
While the increase from April is relatively modest, the direction remains important. Economists and financial markets often look at reserve trends rather than a single month’s performance when assessing external strength.
The latest data suggests reserve assets continue to move upward, providing additional support for economic stability and market confidence.
Central Bank of Sri Lanka (CBSL) Numbers & Indexes
Last modified: June 9, 2026
