ECONOMYNEXT — Sri Lanka plans to strictly tighten the enforcement of its fuel QR quota system as foreign exchange expenditure on CPC fuel imports soared to a staggering 524 million US dollars in May, energy minister Anura Karunathilaka said.
The move comes as the island nation struggles to curb its fuel consumption amidst an ongoing economic crisis and skyrocketing global market prices.
According to the minister, Sri Lanka spent 186 million US dollars on fuel imports in January and 97 million US dollars in February, before the expenditure shot up drastically in May.
While the QR code and fuel quota systems managed to reduce consumption, the drop is still not enough to meet national targets, Karunathilaka told reporters the day after the Vesak holiday, during which many Sri Lankans drive around taking in the colourful displays and dansal, creating traffic snarls.
“If immediate steps are not taken to curb consumption and plug the dollar drain, it will not only drive fuel prices higher but also trigger a devastating ripple effect across the entire economy,” Karunathilaka said.
He warned that the current trajectory of foreign exchange outflow is entirely unsustainable for the economy.
The state-run Ceylon Petroleum Corporation (CPC) and the Ministry of Digital Infrastructure will strictly enforce the existing QR quota system, he said.
The government aims to lower fuel consumption to mitigate the severe financial strain on the country’s economy. (Colombo/Jun1/2026)