The amount of dollars sent back to Sri Lanka by Sri Lankans working abroad is declining sharply. Sri Lanka is facing a severe dollar crisis and the crisis has been exacerbated by a drop in remittances.
A study by an independent research firm, Public Finance, has found that remittances are declining rapidly in Sri Lanka alone, while remittances from other countries in the central region are rising.
In 2021, the Maldives increased its remittances by 25.2%, Pakistan by 27% and the Philippines by 29.6%. Foreign remittances from Bangladesh increased by 1.5%.
However, remittances from Sri Lanka have declined by 22.7% in 2021 compared to 2020.