ECONOMYNEXT – The release of Sri Lanka’s Household Income and Expenditure Survey (HIES) report for 2025 will be delayed by two months due to more time needed for the accurate compilation, the Parliament said in a statement.

The data for HIES is collected and compiled by the Department of Census and Statistics (DCS), operating under the Ministry of Finance, Planning and Economic Development.

The Parliament Committee on Public Finance (CoPF) early this week discussed the current situation regarding poverty, income distribution, and household welfare.

Attention focused on the collection of social and economic data, the scientific methodologies used to calculate the poverty line, and how that data is utilized for policymaking.

The relevant data are collected by the Ministry of Finance, Planning and Economic Development, the Department of Census and Statistics, the Central Bank of Sri Lanka, and the Welfare Benefits Board,

“Officials informed the committee that although the report was originally scheduled for release in October 2026, the release date has been deferred to December 2026 due to complexities in data cleaning, delays in computerization, cadre vacancies, and work related to the Economic Survey,” the Parliament said in a statement on Friday (16).

“It was revealed during the discussion that data was gathered from 25,000 households island-wide over a 12-month period for this survey, and data cleaning, verification, and analysis work are currently underway.”

“The necessity of publishing the results of such surveys in a timely manner to identify changes in economic and social conditions more accurately was emphasized.”

It said the necessity of updating the consumer basket used to calculate the poverty line to reflect contemporary social and economic changes was highlighted.

“Discussions particularly focused on whether calculations based on outdated data and commodity baskets accurately reflect the current cost of living and basic public needs.”

“Attention was also drawn to the requirement that data used in identifying beneficiaries for social welfare programs such as Aswesuma accurately reflect current household income and expenditure levels.”

Despite consecutive rounds of economic stabilization and fiscal consolidation, Sri Lanka continues to suffer significant social spending leakages and fiscal inefficiencies due to the absence of a unified, accurate, and real-time household data architecture.

Legacy welfare mechanisms have historically relied on outdated administrative registries, localized self-reporting, and fragmented institutional databases, creating severe inclusion and exclusion errors where non-poor households capture state relief while vulnerable agrarian populations remain omitted.

Attempts to rationalize relief mechanisms such as universal energy and fuel price cushions deployed during external market shocks further highlight these structural vulnerabilities, as the state lacks the integrated digital infrastructure required to deliver targeted, end-user cash transfers to specific groups like smallholder farmers, informal transport operators, and micro-entrepreneurs.

Consequently, policy implementations like the Aswesuma welfare scheme continue to face operational friction, leaving fiscal allocations exposed to administrative leakages and diminishing the overall efficacy of state safety nets during broader macroeconomic shocks. (Colombo/October 16/2026)

ECONOMYNEXT – Sri Lanka’s rupee closed at 331.25/35 to the US dollar in the spot market on Friday, weaker from 331.15/25 the previous day, while bond yields edged up, dealers said.

A bond maturing on 01.08.2030 closed at 11.40/50 percent, up from 11.35/40 percent.

A bond maturing on 15.10.2030 closed at 11.50/55 percent, up from 11.40/45 percent.

A bond maturing on 01.02.2031 closed at 11.55/65 percent, up from 11.45/50 percent.

A bond maturing on 15.12.2032 closed at 11.80/90 percent, up from 11.75/85 percent.

A bond maturing on 15.10.2034 closed at 12.25/35 percent, up from 12.20/30 percent. (Colombo/Oct16/2026)

ECONOMYNEXT – Sri Lanka’s Colombo Stock Exchange closed higher on Friday, CSE data showed, with the benchmark All Share Price Index moving up 1.07 percent.

The ASPI was up 213.90 points at 20,185.05, while the more liquid S&P SL20 was up 0.82 percent, or 46.74 points, at 5,745.76.

Positive contributors to the ASPI were Dialog Axiata (up 3.53 percent at 44.00 rupees), Ceylon Cold Stores (up 3.63 percent at 121.25 rupees), Distilleries Company of Sri Lanka (up 2.95 percent at 52.30 rupees), Hatton National Bank (up 0.80 percent at 378.00 rupees), and Softlogic Capital (up 15.38 percent at 9.00 rupees).

Carson Cumberbatch (down 3.07 percent at 678.50 rupees), LOLC Finance (down 2.08 percent at 4.70 rupees), Vallibel One (down 1.05 percent at 85.00 rupees), and Ceylon Tobacco Company (down 0.44 percent at 1,770.25 rupees) were top negative contributors.

Market turnover was 1.14 billion rupees. The Materials Industry Group led turnover with 273.33 million rupees, followed by the Banks Industry Group with 236.3 million rupees.

Crossings were observed in CIC Holdings, Seylan Bank, Distilleries Company of Sri Lanka, and People’s Leasing & Finance, with the largest crossing recorded in CIC Holdings at 46.5 million rupees, according to Dewangi De Silva, Assistant Manager – Research at NDB Securities.

Renewable energy firm Vidullanka said it received a Letter of Acceptance for a 1.35 million US dollar mini hydro Engineering, Procurement, and Construction (EPC) contract in Fiji. Awarded by the Department of Energy under Fiji’s Ministry of Public Works, Meteorological Services and Transport, the turnkey EPC project covers the design, supply, installation, testing, and commissioning of a 100-kilowatt mini hydro plant at Buca Village, marking the group’s entry into the Pacific island region. (Colombo/Oct16/2026)

ECONOMYNEXT – A delegation from Kurdistan Iraq visiting Sri Lanka have discussed expanding trade beyond tea to other sectors, the Ceylon Chamber of Commerce said.

The team, who were in the country to participate in the Sri Lanka Economic & Investment Summit 2026, expressed interest in exploring further business and investment opportunities, the chamber said.

“Discussions covered expanding trade beyond tea, Sri Lanka’s traditional export to Iraq, with potential in food and beverages, agriculture, food manufacturing for export, higher education and tourism.”

The chamber was committed to facilitating business connections and supporting investment opportunities between the two markets Chairperson Krishan Balendra said.

The team invited the chamber to visit Kurdistan to explore opportunities in the region, identifying opportunities for further engagement to develop new commercial links across several sectors. (Colombo/Oct16/2026)

ECONOMYNEXT — Sri Lanka energy firm Vidullanka has received a Letter of Acceptance for a 1.35 million US dollar mini hydro Engineering, Procurement, and Construction (EPC) contract in Fiji, the company said in a market filing.

The contract was awarded by the Department of Energy under Fiji’s Ministry of Public Works, Meteorological Services and Transport.

Under the project scope, Vidullanka will execute the turnkey EPC works, covering the design, supply, installation, testing, and commissioning of a 100-kilowatt (kW) mini hydro facility located at Buca Village in Fiji.

“This contract marks Vidullanka PLC’s entry into the Pacific island region’s renewable energy sector, building upon the Group’s established track record of international EPC execution in South America (Guyana) and East Africa,” the company said.

The company had submitted its original bid for the tender on December 18, 2025, and received the official Letter of Acceptance dated October 13, 2026.

“The award further reinforces the Group’s strategy to diversify its revenue streams into foreign-currency-denominated EPC and specialized technical engineering service contracts,” the company stated.

Vidullanka said it will now complete the procedural and administrative formalities required under the tender conditions leading up to the execution of the formal agreement with the Fijian awarding agency.

The company added that further disclosures will be made to the Colombo Stock Exchange once the formal contracts are signed. (Colombo/Oct16/2026)

ECONOMYNEXT – The United States has announced a 17 million US dollar grant to modernise digital systems and maritime documentation at the Port of Colombo, the Sri Lanka Ports Authority (SLPA) said.

US Ambassador to Sri Lanka Eric Stern Meyer announced the grant during a visit to the Colombo port, following discussions with senior maritime officials and government ministers.

“Powered by U.S. innovation and expertise, we will accelerate Sri Lanka’s port modernization, strengthen U.S. supply chains, and create opportunities for American technology firms,” Meyer said.

The funding is aimed at upgrading Sri Lanka’s Maritime Single Window and Port Community System, which manage documentation, regulatory clearances, and data sharing across the port.

“This funding will support the digital infrastructure used for maritime documentation, regulatory procedures, and information exchange among port stakeholders,” Meyer said.

The planned digital upgrade is designed to improve coordination between the SLPA, Customs, terminal operators, shipping lines, and other key agencies involved in daily cargo handling.

“Better integration of maritime data and administrative processes will reduce paperwork, improve cargo clearance, and support more efficient vessel and cargo operations,” SLPA Chairman Parakrama Dissanayake said.

Modernising these core digital systems is vital to strengthening trade facilitation at the Port of Colombo, which operates as a primary transshipment hub in the Indian Ocean, officials noted. (Colombo/Oct16/2026)