From January to August 30 of this year, the government has borrowed approximately 6.515 trillion rupees through treasury bills and bonds.
According to reports from the Central Bank, borrowing amounted to 878 billion rupees in January, 641 billion rupees in February, 843 billion rupees in March, and 720 billion rupees in April. In May, the government borrowed about 813 billion rupees, followed by 1.196 trillion rupees in June. July saw an additional 608 billion rupees in borrowing, with 814 billion rupees added in August.
On average, the government has incurred a monthly debt of nearly 815 billion rupees through domestic treasury bills and bonds this year. A significant portion of these loans is allocated towards servicing maturing debts.
Professor Wasantha Athukorala, Director of the Humanities and Social Sciences Postgraduate Studies Department and Economics Professor at the University of Peradeniya, emphasizes the need for a gradual reduction in domestic borrowing to alleviate the country’s domestic debt burden.
