Sri Lanka faces fresh economic crisis post-2028, Wickremesinghe cautions

Former President Ranil Wickremesinghe has sounded fresh alarm over Sri Lanka's economic trajectory, cautioning that the island nation will face another severe economic downturn after 2028 unless corrective measures are strengthened.

Wickremesinghe's warning comes as Sri Lanka continues its recovery from the devastating economic crisis of 2022, which forced the country to seek an International Monetary Fund bailout. The former leader suggested that without sustained reform and fiscal discipline, the nation risks repeating the economic catastrophe that brought the country to the brink of default.

The timing of Wickremesinghe's cautionary statement underscores concerns among policymakers and analysts about the sustainability of Sri Lanka's current recovery trajectory. Debt servicing obligations and external repayment schedules are expected to intensify beyond 2028, potentially straining government finances if revenue generation and structural reforms do not progress as planned.

Experts have emphasized that Sri Lanka must accelerate its economic restructuring, enhance revenue collection, and maintain strict fiscal discipline to avoid another crisis. The country's ability to navigate upcoming debt obligations will depend significantly on the success of ongoing IMF-backed reforms and the government's commitment to fiscal consolidation measures.