Sri Lanka Charts Inclusive Path with Sustainable Finance Roadmap 2.0

Picture Credit: island.lk

Sri Lanka requires USD 10.85 billion to meet its climate goals by 2030, according to Nationally Determined Contributions (NDC) estimates. In a bold move toward sustainability, the Central Bank of Sri Lanka (CBSL) launched its Sustainable Finance Roadmap 2.0 on May 5 in Colombo, led by Governor Dr. P. Nandalal Weerasinghe.

The updated roadmap signifies a strategic evolution from green finance to a broader agenda that includes financial inclusion, gender equality, and support for micro, small, and medium enterprises (MSMEs). It reinforces the message that sustainability is not only an environmental goal but also a driver of long-term economic and social stability.

The initiative builds on the 2019 roadmap and addresses global warnings, such as the NGFS's $4.2 trillion risk to financial assets and the World Bank's projection that 130 million people could fall into poverty without climate action.

Sri Lanka faces growing climate threats impacting agriculture, energy, and infrastructure. CBSL stressed that such disruptions jeopardize both price and financial stability, potentially leading to inflation and a rise in non-performing loans.

Picture Credit: adventureworld.com

Key elements of Roadmap 2.0 include an embedded focus on social sustainability through the updated CBSL Act, stronger internal risk management frameworks, and Phase II of the National Financial Inclusion Strategy promoting Inclusive Green Finance (IGF).

However, coordination and blended finance challenges persist. Addressing these gaps is essential to unlock private capital and scale sustainable investments across sectors.

CBSL is calling on all stakeholders to actively participate in the roadmap’s implementation. With sustained effort, Sri Lanka is well-positioned to strengthen its financial resilience, meet its climate commitments, and serve as a regional model for inclusive, sustainable finance.