February worker remittances robust at US$ 729mn

​Sri Lankan remittances remained robust in February 2026, totalling US$ 729.0 million, up from US$ 548.1 million a year earlier, though slightly below January’s US$ 751.1 million.

February’s strong receipts from Sri Lankan migrants have brought the cumulative two-month inflows from remittances to US$ 1,480.1 million, up by a strong 32.0 percent from the same period in 2024. 

Rising remittances and tourism inflows have steadied the fragile Sri Lankan economy since the crisis struck the country in 2022. The record number of people who left the country to flee tougher living conditions during the economic crisis and its aftermath has also helped Sri Lanka gradually increase the amount it collects from remittances. 

​The Central Bank also clamped down on informal money changers who used to offer extremely high premiums over the official rate since 2021, which has helped the rise in official remittances received via banking channels. 

Worker remittances are Sri Lanka’s single largest foreign currency inflow, and in 2025, the country collected as much as US$ 8,076.2 million, up by a strong 22.8 percent. However, risks remain as Sri Lanka is coming out of an economic crisis caused by a foreign exchange shortage.

​Some commentators argued that the ongoing conflict in the Middle East, stemming from recent military actions involving the United States and Iran, could have ripple effects on remittance inflows, as well as other inflows from tea and other commodity exports, threatening the country’s hard-won external sector stability. 

Conditions, they say, could further exacerbate if oil prices continue to rise, along with other commodity prices, which will then translate into a higher import bill and higher inflation. The situation remains highly fluid based on conditions during the weekend. If the Middle East conflict persists, there could be a slowdown in people leaving for foreign employment in the region, and even those already there may be inclined to return.