Sri Lanka’s National People’s Power (NPP)–led government has launched the long-awaited digitalisation of Employees’ Provident Fund (EPF) services, claiming it as a breakthrough for efficiency, transparency, and worker convenience. But beneath the promises of online access and paperless processing lies a deeper policy debate: who ultimately benefits from this reform — private-sector employees or the State’s fiscal agenda shaped by IMF-backed restructuring?
The digital EPF programme, launched in late December 2025, enables online registration of employers and employees, electronic submission of contribution data, unified EPF-ETF payments, and member access to balances via web or SMS. For Sri Lanka’s over 2.9 million active EPF members, most of them private-sector workers, the reform promises faster service delivery and fewer administrative delays.
The EPF, managed by the Central Bank of Sri Lanka, is the country’s largest retirement fund, with assets exceeding Rs. 4.3 trillion by end-2024. Yet for decades, contributors have faced missing records, delayed settlements, and weak accountability. Digitalisation, in theory, directly addresses these failures.
However, the timing and structure of the reform raise legitimate questions. Sri Lanka’s IMF-supported Extended Fund Facility (EFF) programme strongly emphasises public sector digitalisation, fiscal transparency, and data integration. While IMF documents do not explicitly instruct Sri Lanka to digitise the EPF, they consistently call for stronger public financial management, better monitoring of large public funds, and reduction of administrative inefficiencies.
Government officials insist the reform is worker-centric. Labour Minister Dr. Anil Jayantha Fernando has described the initiative as part of a broader plan to integrate all state institutions into a real-time digital platform. Deputy Minister Mahinda Jayasinghe argues that digitalisation will reduce the thousands of EPF-related complaints received annually.
Yet critics point out that digital integration also gives the State unprecedented visibility and control over worker savings, at a time when pension funds have increasingly been drawn into government debt restructuring and domestic financing strategies.
Private-sector unions caution that transparency must be mutual. While workers can now see balances online, they still have limited insight into how EPF funds are invested, how risks are managed, or how policy decisions affect long-term returns.
Digital EPF is not inherently anti-worker. But without strong legal safeguards, independent oversight, and clear communication, a reform sold as “convenience” could quietly become a tool of centralised financial control.
For Sri Lanka’s private-sector workforce, the real test will not be logging in but whether their lifelong savings remain secure, fairly managed, and truly protected.
