State foreign exchange income will increase as the navy takes over providing security for foreign ships.

With the direct intervention of the Sri Lanka Navy in operations to provide security for foreign vessels within Sri Lanka's maritime boundaries, it has been possible to increase the government's foreign exchange income and directly contribute those benefits to the country's economy. These operational activities were initiated by the Sri Lanka Navy in 2009 and have since been implemented under various administrative structures at different times.

However, with the aim of increasing state revenue, an extraordinary gazette notification issued on August 10, 2025, has re-assigned the full powers and responsibility of providing these services to the Navy.

Under this new methodology, it is noteworthy that the Navy has been able to credit USD 598,250.00 to the government's consolidated fund through independent operations conducted only within a period of less than four months, from October 03, 2025, to February 08, 2026. Previously, these services were operated as a joint venture between Rakna Arakshaka Lanka and Avant Garde Maritime Services, which generated a total income of USD 14.12 million over a period of nearly four years, from September 2021 to July 2025. Recent financial data confirms that this change in the operational process has critically impacted the increase in state revenue.

Under the previous Joint Venture methodology, the government and the Navy received only a 15% dividend from the total income, and since this amount was received in Sri Lankan Rupees, its financial value depreciated. During that period, an enormous percentage of the remaining income, 80.75%, was distributed to Avant Garde Maritime Services, and 4.25% to Rakna Arakshaka Lanka. Furthermore, it has been revealed that Avant Garde has not yet paid the Navy a service fee of LKR 782 million due for the period from December 01, 2014, to November 13, 2015.

With the Navy now directly providing these services, a transparent system has been established where income from international companies is fully credited to the government's consolidated fund in US Dollars (USD) without any intermediaries. This step has enabled the country to increase its foreign exchange reserves and inject new impetus into the economy, while also further affirming Sri Lanka's responsibility, security, and diplomatic credibility in the international maritime sector.