From January 01, the Central Bank of Sri Lanka will close its Public Debt Department.

The Central Bank of Sri Lanka has decided to close its Public Debt Department (PDD) with effect from January 01, 2026, and concurrently, the 'LankaSecure' unit, which was under that department, has been assigned to the Payments and Settlements Department (PSD).

In December 2024, a Public Debt Management Office was established under the Ministry of Finance, Planning, and Economic Development, in accordance with the Public Debt Management Act No. 33 of 2024.

This newly established Public Debt Management Office became fully operational by December 2025, and the full responsibility for debt management activities previously carried out by the Public Debt Department of the Central Bank has been transferred to this office.

This transfer of responsibilities and reorganization has been carried out with the aim of strengthening institutional accountability within Sri Lanka's debt management framework, as well as enhancing its efficiency and transparency.

However, subject to the relevant provisions of the Public Debt Management Act and the Central Bank of Sri Lanka Act No. 16 of 2023, the Central Bank of Sri Lanka has made arrangements to continue operating the unlisted securities settlement system and the central depository system for government securities under the Payments and Settlements Department, effective from January 01, 2026.

The Central Bank of Sri Lanka further states that the responsibility for operating these systems will be carried out under the Director of the Payments and Settlements Department, who has been appointed as the Registrar of Government Securities.