Sri Lanka’s Biggest Loss-Making SOEs in 2025: Where Did Rs. 67.5 Billion Go?

Sri Lanka’s top five loss-making state-owned enterprises in 2025: CEB lost Rs.38.7bn, SriLankan Airlines Rs.23.2bn, Lanka Sugar Rs.3.2bn, Agriculture & Agrarian Insurance Board Rs.1.9bn and Lanka Sathosa Rs.530mn. 

Explore Sri Lanka SOE losses, public-sector finances, government enterprises and taxpayer costs.

Sri Lanka’s Top 5 Loss-Making State-Owned Enterprises in 2025

Sri Lanka's state-owned enterprises (SOEs) continue to attract attention because of their impact on the country's public finances, government expenditure and ultimately the taxpayer.

According to figures reported from the Ministry of Finance's Final Budget Position Report 2025, these were the five largest loss-making entities among the major SOEs reported for the year.

 Ceylon Electricity Board — Rs. 38.7 billion loss

The Ceylon Electricity Board (CEB) recorded the largest loss, at Rs. 38.7 billion, in 2025.

This was a dramatic turnaround from a Rs. 141.6 billion profit in 2024.

The Finance Ministry's report attributed the deterioration largely to electricity tariff reductions, which reduced revenue despite an increase in electricity consumption.

SriLankan Airlines — Rs. 23.2 billion loss

SriLankan Airlines recorded the second-largest reported loss, with net loss before tax of Rs. 23.2 billion.

Foreign-exchange pressures and debt-related costs continued to weigh heavily on the national carrier. The airline also received substantial government financial support during its restructuring process.

Lanka Sugar Company — Rs. 3.2 billion loss

Lanka Sugar Company reported a loss of approximately Rs. 3.2 billion in 2025.

The sugar industry remains strategically important because of Sri Lanka's dependence on imported sugar and the government's attempts to increase domestic agricultural and industrial production.

Agriculture and Agrarian Insurance Board — Rs. 1.9 billion loss

The Agriculture and Agrarian Insurance Board (AAIB) recorded a reported loss of approximately Rs. 1.9 billion.

The institution plays an important role in agricultural insurance and protecting farmers against various agricultural risks.

Lanka Sathosa — Rs. 530 million loss

Lanka Sathosa, the state-owned retail network involved in distributing essential consumer goods, recorded a loss of approximately Rs. 530 million.

Unlike a purely commercial company, Lanka Sathosa also operates within the government's broader food security and consumer-price policy framework, an important consideration when interpreting its financial performance.

The Bigger Picture

Adding the five reported losses together gives approximately:

Rs. 38.7bn + Rs. 23.2bn + Rs. 3.2bn + Rs. 1.9bn + Rs. 0.53bn = Rs. 67.53 billion.

#SriLanka  #SriLankaEconomy  #SOEs 

#StateOwnedEnterprises #CEB #SriLankanAirlines #LankaSathosa #LankaSugar #PublicFinance #SriLankaEconomy #EconomicReforms #Taxpayers #GovernmentExpenditure #SriLanka2025 #Finance #Economy





Location: Makumbura, Pannipitiya, Sri Lanka

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