A powerful new growth report outlines a bold economic strategy for Sri Lanka, aiming to transform the island’s future from crisis recovery to global competitiveness. Backed by expert analysis and urgent policy priorities, this roadmap could define Sri Lanka’s fate between 2025 and 2030.
A groundbreaking new report has outlined an ambitious economic roadmap to guide Sri Lanka’s recovery from its historic financial crisis and propel the country toward sustainable, inclusive growth between 2025 and 2030. Titled Sustaining Transformative Growth in Sri Lanka 2025–2030, the comprehensive study was developed by an Independent Growth Study Group formed by ODI Global and the Centre for Poverty Analysis (CEPA).
The strategy leverages Sri Lanka’s unique geographic position and current industrial base to push for deeper global economic integration, foreign direct investment, and poverty reduction. The report, unveiled today, urges decisive policy shifts to secure long-term transformation.
With input from nine prominent economists and policy analysts spanning the public, private, and global sectors, the study recognizes recent progress in stabilizing the economy. It highlights Sri Lanka’s recovery momentum following its worst economic collapse since gaining independence. While GDP growth has returned and inflation has eased, the report cautions that poverty and systemic weaknesses still threaten sustainable recovery—demanding urgent, focused reforms.
Dr. Ganeshan Wignaraja, Visiting Senior Fellow at ODI Global and chair of the study group, emphasized the importance of timely and decisive policy implementation:
“Sri Lanka has shown remarkable resilience in overcoming recent economic hardship, but the journey towards prosperity requires more than resilience, it demands bold action. This report provides a crucial framework, not just for consolidating the hard-won gains of stabilization, but for igniting truly transformative growth that uplifts all Sri Lankans.”
The report identifies six core policy priorities:
- Strengthening macroeconomic stability
- Enhancing global supply chain integration
- Reforming factor markets
- Implementing sector-specific strategies
- Combating poverty
- Building a stronger political consensus
It points to high-potential sectors such as tourism, the digital economy, niche manufacturing, and agriculture as key engines for future growth.
CEPA Executive Director and co-author Prof. Sirimal Abeyratne emphasized that trade reform must anchor Sri Lanka’s economic renewal:
“Sri Lanka’s historical under-performance in exports is directly linked to a persistent anti-export bias and cumbersome business regulations. Our findings underscore that strategically opening up to global trade and rigorously streamlining business procedures are essential accelerators to boost exports and investment.”
Prof. Dirk Willem te Velde, Director of the International Economic Development Group at ODI Global, noted the broader regional impact of Sri Lanka’s turnaround:
“Sri Lanka’s recovery offers a powerful example for other emerging economies facing similar crises. Our study shows how targeted policies on trade, innovation, digital economy, and governance can transform the economic landscape and prevent future macroeconomic shocks.”
The report calls for a renewed focus on strategic location-based advantages and production efficiencies to attract investment and lower poverty across the island.
Aimed at both local policymakers and international stakeholders, the document serves as a call to action. It stresses that short-term stabilization must now give way to deeper, system-wide reform.
The full report is available for download via ODI Global’s official website at www.odi.org/publications/sustaining-transformative-growth-in-sri-lanka-odi-cepa-growth-study-report. Sinhala and Tamil translations will be released soon across the country in print.
