Sri Lanka spends over $ 300 million on vehicle imports in five months

• The total export amount of $ 1,035 million and import amount of $ 1,507 million was recorded in May, according to the Central Bank

By Tahaan Jayewardene

Vehicle imports including both personal and commercial vehicles amounted to $ 118 million in May 2025, bringing the total for the period from January to May 2025 to $ 312 million, according to the Central Bank .   

The Central Bank, in a media release statement on Sri Lanka’s external sector performance in May, informs that the terms of trade deteriorated during the month, as the increase in import prices exceeded the increase in export prices. The total export amount of $ 1,035 million and import amount of $ 1,507 million was recorded in May, according to the Central Bank. The merchandise trade deficit widened in May 2025 compared to May 2024, reflecting a larger year-over-year (y-o-y) growth in imports relative to merchandise exports, reports the Central Bank. However, the Central Bank informs that the trade deficit narrowed compared to April 2025.   

The Central Bank states that healthy inflows of workers’ remittances were observed, offsetting a widening trade deficit. “Workers’ remittances recorded a growth of 17.9 per cent (y-o-y) in May 2025, contributing to cumulative remittances of US dollars 3.1 billion during the period from January–May 2025” states the Central Bank. According to the Central Bank, the external sector of Sri Lanka strengthened further in May 2025, with a continued monthly surplus in the current account.  

The monthly current account recorded surpluses in all months in 2025 up to May, reflecting robust performance of the external sector, says the Central Bank.   

“In terms of direction of trade, the United States, India, and the United Kingdom remained the top export destinations, while China, India, and the United Arab Emirates continued to be the leading sources of imports in May 2025 as well as during the January–May 2025 period” states the Central Bank.