Sri Lanka’s state-owned enterprise (SOE) sector is once again under scrutiny as new fiscal data reveals persistent structural weaknesses, with nearly one-third of major state entities running losses in the first half of 2025. The Mid-Year Fiscal Report released by the Ministry of Finance paints the picture of a sector struggling under years of mismanagement, political interference and mounting liabilities—despite repeated restructuring efforts.
One-third of Sri Lanka’s SOEs record losses in first half of 2025
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