ECONOMYNEXT – Sri Lanka’s current foreign exchange earnings hit 2,600 million US dollars in March 2025, up from 2,362 million last year with remittances as well as hard goods exports surging, official data showed.
Worker remittances hit 693 million dollars compared to 572 million dollars last year. Following the last currency crisis which destroyed real wages, many Sri Lankans have moved to countries with greater monetary stability.
Gross services exports which included tourism survey data was 665 million dollars.
Tourism inflows were estimated at 354 million dollars, totaling 1,025 million dollars over the quarter, which is the winter tourism season.
Travel abroad by Sri Lankans were 68.8 million dollars in March 2025, up from 61.4 million dollars last year.
Sri Lanka’s hard goods exports hit 1,241 million dollars from 1,052 million US dollars ahead of April holiday period when factories close and possible inventory build-up by US buyers.
Imports, which well to 1,564 million dollars in February in the wake of a credit contraction in January recovered to 1,637 million US dollar. When services incomes are remittances are spent, they become imports.
The balance can be used for debt debt service and other services expenses. The exchange rate will remain stable and total outflows confined to inflows of dollars unless the central bank prints money and drives up credit with with money that are not real deposits.
The central bank bought 400 million US dollars in the month, with banks replenishing their open positions the previous month. (Colombo/May01/2025)