By: Staff Writer
February 18, Colombo (LNW): Sri Lanka is on the verge of a major digital transformation as the government accelerates efforts to modernize the economy.
Recognizing the potential of digital financial systems, President Anura Kumara Dissanayake has unveiled strategic initiatives to position Sri Lanka as a leading digital economy in South Asia.
The government is committed to strengthening regulatory frameworks, fostering technological innovations, and enhancing financial inclusion to drive economic growth in the coming years.
Sri Lanka is on the verge of a major digital transformation as the government accelerates efforts to modernize the economy.
Recognizing the potential of digital financial systems, President Anura Kumara Dissanayake has unveiled strategic initiatives to position Sri Lanka as a leading digital economy in South Asia.
The government is committed to strengthening regulatory frameworks, fostering technological innovations, and enhancing financial inclusion to drive economic growth in the coming years.
In his 2025 Budget Speech, President Dissanayake announced the establishment of a Digital Economic Authority to oversee and regulate the expanding digital sector.
Additionally, new legal frameworks will be introduced to facilitate digital payments, ensuring security and efficiency in financial transactions.
The President emphasized the need to move away from a cash-based economy, citing the recently launched ‘GovPay’ platform as a crucial step in this transition. He assured that the shift would be implemented in carefully planned phases with clear communication to the public.
To encourage technological advancements, the government aims to attract investments in emerging sectors such as Artificial Intelligence, Robotics, and Financial Technologies.
With a goal of expanding Sri Lanka’s digital economy to exceed USD 15 billion or contribute more than 12% of the national GDP, the President proposed an allocation of Rs. 3,000 million for digital development in 2025.
Sri Lanka has already emerged as the fastest adopter of digital payments in South Asia.
The post-pandemic landscape has witnessed a significant increase in digital transactions, with at least a 20% growth since 2019, particularly among debit card users.
Global payment leader Visa has recognized Sri Lanka as one of its fastest-growing markets in the region.
According to Ramakrishnan Gopalan, Visa’s Vice President and Head of Products for India & South Asia, the country has demonstrated strong economic recovery and increasing consumer engagement with digital payment systems.
Visa anticipates sustained double-digit growth in digital payments over the coming years, with greater penetration of card-based transactions.
The company is preparing to relaunch its Infinite card initiative, targeting high-affluent consumers, who are reportedly adopting digital payment methods at rates nearly three times higher than other demographics.
Gopalan noted that demand for credit cards is rising among emerging affluent consumers, prompting financial institutions to enhance their offerings.
