2022-07-21 ➔ 2024-09-23United National Party (UNP) backed by SLPP Parliamentary Majority

Ranil Wickremesinghe Administration

රනිල් වික්‍රමසිංහ පාලන කාලය (2022–2024) • ரணில் விக்ரமசிங்க நிர்வாகம் (2022–2024)

Executive President

Ranil Wickremesinghe (Elected by Parliament July 2022)

Prime Minister(s)

Dinesh Gunawardena

Finance Minister(s)

Ranil Wickremesinghe

Avg GDP Growth

1.1%

Avg Inflation

9.8%

Start Debt/GDP

128.1%

End Debt/GDP

109.8%

Peak Reserves

$5.6B

FX Trajectory

Rs. 304

Major Economic & Governance Policies Enacted

IMF Extended Fund Facility ($2.9 Billion Approval)Year: 2023

Secured 48-month EFF arrangement in March 2023 with quantitative benchmarks for primary surplus, reserve accumulation, and central bank independence.

Documented Impact: Unlocked multilateral financing from World Bank and ADB; restored international credibility.

Central Bank of Sri Lanka Act No. 16 of 2023Year: 2023

Enacted statutory independence for CBSL, legally banning monetary financing of government fiscal deficits (money printing).

Documented Impact: Anchored inflation expectations and modernized monetary policy framework.

Domestic Debt Optimization (DDO) & External Restructuring MoUsYear: 2023

Restructured domestic Treasury bonds held by Superannuation funds (EPF/ETF) and signed bilateral debt restructuring terms with OCC (Japan/India/France) and China.

Documented Impact: Extended debt maturities and lowered gross financing needs to sustainable levels.

Cost-Reflective Utility Pricing & VAT Hike to 18%Year: 2024

Raised VAT to 18% with narrowed exemptions and enforced automatic monthly fuel and bi-annual electricity price formulas.

Documented Impact: Eliminated operating losses at CPC and CEB; lifted government tax revenue above 11% of GDP.

Documented Achievements

Restored macroeconomic stability: inflation dropped from 69.8% to <2%, rupee appreciated from 360 to ~300/USD.
Eliminated nationwide power cuts, fuel shortages, and cooking gas queues.
Enacted Anti-Corruption Act No. 9 of 2023 and Central Bank Act No. 16 of 2023.
Rebuilt foreign exchange reserves from ~$20M to >$5.4 Billion.

Documented Criticisms & Policy Failures

High tax burden on middle-class wage earners (PAYE) and sharp increase in indirect VAT to 18%.
Burden of Domestic Debt Optimization fell disproportionately on EPF/ETF retirement savings of working citizens.
Surge in poverty headcount to ~25% and mass brain drain emigration of professionals.
Postponement of Local Government Elections in 2023 citing lack of treasury funds.

Audited Controversies & Judicial Records

⚖ VFS Global Online Visa Outsourcing Controversy (nullified by Supreme Court in August 2024).

⚖ Importation of Substandard Immunoglobulin Medicines Scandal (arrest of former Health Minister Keheliya Rambukwella).