The Sri Lankan government has announced a comprehensive plan to settle the airline’s legacy debt.
SLA, a key player in the transportation of passengers and cargo by air, has faced numerous hurdles in previous attempts by various governments to divest state ownership and attract private investment.
To resolve these issues, the Government will sign an agreement with the concerned banks and allocate Rs. 10,000 million for loan capital repayment in 2025, along with an additional Rs. 10,000 million for interest payments.
his initiative aims to relieve SLA of its debt burden.
Once these legacy debt service costs are settled, SLA will be fully responsible for maintaining its financial health.
To support this transition, the airline is developing a new medium-term strategic plan.
The Government has proposed a total allocation of Rs. 20,000 million for this purpose in the 2025 Budget.
This was announced by President Anura Kumara Dissanayake in his 2025 Budget Speech in Parliament on Monday (17).
