President Anura Kumara Dissanayake has emphasized that newly imported vehicles in Sri Lanka will cost significantly more than the used vehicles currently in circulation. This is a result of stringent control measures introduced to stabilize the economy and safeguard financial institutions.
Speaking on the Battle program broadcast by the Sirasa television channel, President Dissanayake stressed the need for a balanced approach to vehicle imports. He warned that a steep decline in vehicle prices could adversely affect banks and leasing companies, potentially triggering a financial crisis.
The government has allocated $1.2 billion for vehicle imports in 2025 as part of its strategy to manage foreign exchange reserves effectively. In comparison, the country spent $1.9 billion on vehicle imports in 2018 and $1.4 billion in 2019.
The President underscored the importance of maintaining restrictions on vehicle imports to avoid depleting foreign reserves, a scenario that could precipitate another economic crisis. Despite plans to resume vehicle imports in February 2025, he revealed that strict controls would remain in place.
These measures, which include limited import volumes, are expected to result in higher prices for new vehicles compared to existing alternatives. Additionally, President Dissanayake confirmed that the use of issued licenses for vehicle imports will not be permitted.
