The Central Bank of Sri Lanka has reported a slight decrease in foreign remittances for September 2024, with inflows amounting to $556 million, down from $577 million in August. This marks the first decline since a period of steady growth, but it still reflects an increase compared to September 2023. The Central Bank emphasized that remittances from foreign workers have consistently remained above the $500 million mark each month from March to September this year, demonstrating resilience in this vital sector.
In addition to remittances, Sri Lanka’s tourism sector showed robust performance in September, generating $181 million in earnings. This reflects a significant rebound for the industry, which has been recovering since the pandemic’s impact. Cumulatively, tourism revenues from January to September 2024 have reached approximately $2.348 billion, highlighting the sector’s critical role in driving economic recovery and growth.
Analysts note that while the decline in remittances could be concerning, the year-on-year growth suggests underlying strength among Sri Lankan expatriates, particularly in the Middle East and other key markets. Efforts by the government to facilitate easier remittance channels and improve worker rights abroad may continue to support this trend.
The Central Bank’s dual report on remittances and tourism earnings underscores the importance of both sectors in stabilizing and enhancing the national economy amid ongoing challenges. Continued monitoring and strategic interventions may be necessary to ensure that these trends are sustained as Sri Lanka navigates its post-pandemic recovery.
