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Sri Lanka raised substance prices by up to 6% connected Sunday (May 31, 2026), successful enactment with International Monetary Fund (IMF) plans to retrieve vigor costs and signifier retired subsidies to stabilise the economy.
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Petrol was raised to 434 SLR ($1.33), up from 410 SLR, portion diesel accrued to 407 SLR a litre from 392 SLR, the state-run Ceylon Petroleum Corporation said.
The terms hike came days aft the IMF released a $695 cardinal instalment of a $2.9 cardinal bailout loan, agreed successful aboriginal 2023 to stabilise the cash-strapped South Asian nation.
The IMF wants Sri Lanka to guarantee outgo betterment for some substance and energy tariffs, which the authorities has subsidised since the commencement of the struggle successful West Asia successful February.
President Anura Kumara Dissanayake, successful a missive to the IMF, made nationalist by the Washington-based planetary lender, said that substance subsidies volition beryllium phased retired by September.
Since the United States and Israel began attacking Iran connected February 28, triggering a planetary vigor crisis, Sri Lanka has raised petrol and diesel prices by astir 48 percent. Electricity has accrued by a third.
The Strait of Hormuz, a cardinal waterway done which astir 20% of planetary lipid exports walk successful peacetime, has been efficaciously closed by Iran.
Sri Lanka imports each its lipid and besides buys ember for energy generation.
Colombo has warned that the warring successful West Asia, and immoderate prolonged conflict, could earnestly undermine its efforts to look from the economical meltdown of 2022.
Sri Lanka defaulted connected its $46 cardinal overseas indebtedness successful 2022 aft moving retired of overseas exchange. Since then, Colombo has been drafting down the IMF bailout indebtedness to stabilise the country.
