Sri Lanka’s government is advancing its public debt management capabilities following the enactment of the Public Debt Management Act No. 33 of 2024. As part of the law, the establishment of a Public Debt Management Office (PDMO) under Section 23 is required to ensure the accurate and timely recording of public debt data.
Currently, Sri Lanka manages its foreign debt through the Commonwealth Secretariat Debt Recording and Management System (CS-DRMS), operated by the Department of Foreign Resources. However, with the suspension of updates and annual license renewals for CS-DRMS by the Commonwealth Secretariat, the government has sought an upgraded system.
In response, discussions with technical teams from the International Monetary Fund (IMF) and the World Bank have highlighted two potential replacement software options: the Commonwealth Meridian software, offered by the Commonwealth Secretariat, and the Debt Management and Financial Analysis System (DMFAS) from the United Nations Conference on Trade and Development (UNCTAD).
After careful evaluation, the government has recommended the Commonwealth Meridian software as the preferred option. This choice is based on factors such as cost-effectiveness, data integrity, ease of data transmission, and compatibility with existing systems, according to the Cabinet Office.
On Monday (14), the Cabinet of Ministers approved the proposal presented by President Anura Kumara Dissanayake, who also serves as the Minister of Finance, to acquire the Commonwealth Meridian software. The decision will be finalized following recommendations from a procurement committee appointed by the Cabinet.
The new system is expected to significantly improve Sri Lanka’s public debt management, enhancing both transparency and accuracy in debt reporting.
