Offices in Colombo, Sri Lanka and Israel
Economic update· 2 min read
The January 2026 monthly report from the economic research unit of The Ceylon Chamber of Commerce paints a complex but stable picture: continued growth and relative macro stability, alongside significant rebuilding challenges after Cyclone Ditwah.
| Indicator | Value | Period |
|---|---|---|
| GDP growth | 5.3% | Q3 2025 |
| Policy rate (OPR) | 7.75% | — |
| FX reserves | USD 6.8B | Dec 2025 |
| CCPI inflation (headline / core) | 2.1% / 2.7% | Dec 2025 |
| NCPI inflation (headline / core) | 2.9% / 2.6% | Dec 2025 |
| PMI manufacturing / services | 60.9 / 67.9 | Dec 2025 |
| Indicator | Value (USD M) | Period |
|---|---|---|
| Exports | 1,048 | Nov 2025 |
| Imports | 1,779 | Nov 2025 |
| Trade deficit | 731 | Nov 2025 |
| Services trade | 270 | Nov 2025 |
| Tourism earnings | 308.6 (258,928 arrivals, +15.1%) | Dec 2025 |
| Worker remittances | 879.1 (+22.8%) | Dec 2025 |
Remittances and strong tourism continue to directly support foreign-exchange stability.
Direct damage is estimated at USD 4.1B (about 4% of GDP): infrastructure (roads, bridges, water and railways) USD 1.735B, housing USD 985M and agriculture USD 814M. The 2026 budget allocates LKR 100B to housing reconstruction, LKR 250B to infrastructure and LKR 250B to livelihood recovery.
For January–October 2025, CEB hydro generation rose to 5,088 GWh (2024: 4,237), coal fell to 4,329 GWh (2024: 4,795) and non-conventional renewables (NCRE) grew to 3,343 GWh (2024: 2,559), alongside structural reform of the electricity sector.
Source: Monthly Economic Update, January 2026 – The Ceylon Chamber of Commerce
GDP grew 5.3% in Q3 2025. PMIs showed a December slowdown after Cyclone Ditwah but remained in expansion (manufacturing 60.9, services 67.9).
Direct damage is estimated at about USD 4.1B: USD 1.735B infrastructure, USD 985M housing and USD 814M agriculture. The 2026 budget allocates LKR 600B to recovery.
Travel & visas
Ten days is enough for a balanced route from Colombo to Kandy and tea country, then a safari and a finish on the south coast. Seven days means a conscious cut — usually fewer beach days or skipping a region — and should be built around the season, not as a race between sights.
Read moreTravel & visas
There is no single “best” month for the whole island. December–March is especially comfortable for the south and west coasts; July–September suits the east coast and safari. October is usually the least settled month. Build the route around the region, not only the departure date from Israel.
Read moreTravel & visas
A business visit to Colombo can grow into a few tour days — Sigiriya and Kandy, tea country, or the south coast — without turning the whole week into back-to-back meetings. Keep a recovery day after the flight, cluster meetings in Colombo or Port City, and plan the touring days in a single stretch, matched to the season.
Read moreFree initial consultation
Speak with our team in Israel or Colombo for the full brief, documents and a discreet site visit.
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