Home Sri Lanka Outstanding credit card balances surge to Rs. 161 billion
Sri Lanka

Outstanding credit card balances surge to Rs. 161 billion

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Credit card debt in Sri Lanka continues to swell, with outstanding balances reaching Rs. 161.3 billion in July, marking an 2.08% increase from the previous year, according to data from the Central Bank of Sri Lanka.

Although this growth is slower than June’s 7.2% surge, it nonetheless highlights persistent financial strain among consumers.

The number of credit cards in circulation has also risen by 3.35% year-on-year to 2,088,069 driven largely by an increase in globally accepted cards.

Meanwhile, the number of globally accepted cards saw a 4% increase, reaching 2,078,927 while locally accepted cards declined by 5.9% to 9,142 during the same period.

This mounting credit card debt reflects a rise in private sector borrowing, which reached an alarming Rs. 9.5 trillion in the first seven months of 2025.

Though July’s new credit issuance fell slightly short of June’s Rs. 221.5 billion, the Rs. 201.5 billion borrowed still points to an unsustainable borrowing spree.

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