News & market updates

The World Bank approved a $50 million Sri Lanka Digital Transformation Project to modernise government digital services (online citizen portal, inter-agency data sharing, digital locker and scalable government cloud). The project also funds training, a digital-startup accelerator and support for mid-sized tech firms, aiming to attract about $10 million in private investment and boost IT exports and resilience.

The World Bank approved a $50 million project to support Sri Lanka’s digital transformation. The project will modernize government digital services, build public digital infrastructure and a startup accelerator, and aims to boost the local IT sector and attract about $10 million in private investment.

Huawei won three awards at the 2025 Glotel Awards for AI-driven telecom solutions with Safaricom, Telkomsel and China Mobile, citing outcomes like 90% higher configuration accuracy (Safaricom), 15% NPS uplift and 1.5% ARPU growth (Telkomsel), and >99% sensitive-data classification accuracy (China Mobile).

eMudhra and LankaSign (operated by LankaPay) have entered a strategic partnership to integrate eMudhra’s emSigner with LankaSign, enabling legally recognized digital signatures via iOS, Android and web across Sri Lanka to support e-government, digital finance and paperless transactions.

SLASSCOM released its 2025 Compensation & Benefits Survey showing 72% repeat participation and that 52% of respondents operate as Global Capability Centres; the report finds salary increments have stabilised and organisations are shifting to personalised, performance-linked rewards and skill-based structures.

GovPay concluded 2025 having processed over Rs. 2 billion in digital transactions. Since its February 2025 launch it handled 69,000+ transactions for 3,372 services across 215 institutions, doubling collections from Rs.1bn to Rs.2bn in 45 days.

Dialog Axiata PLC and Sri Lanka Telecom (Mobitel) formally received 5G spectrum licenses from TRCSL; Dialog was assigned 100 MHz in 3400–3500 MHz and 200 MHz in 27,200–27,400 MHz, and Sri Lanka Telecom received 100 MHz in 3500–3600 MHz.

Kaspersky detected 3,938,281 local malware incidents on Kaspersky Security Network participants' computers in Sri Lanka in Q3 2025, with 23.2% of users encountering local threats. Local threats—mainly worms and file viruses—spread via removable media, and Kaspersky recommends multi-layered endpoint protection, firewalls and device control to mitigate risks.

Dialog Axiata PLC and SLT-Mobitel (unit of Sri Lanka Telecom PLC) won 5G spectrum licences in an auction that raised about Rs. 10 billion. Licences cover the 3.5 GHz and 27 GHz bands and were issued for a 10-year period.

SLT‑MOBITEL has made its 5G network publicly available across Sri Lanka, showcasing AR/VR, real-time gaming and live speed demonstrations at a public event in One Galle Face Mall.

Scienter Technologies (Private) Ltd marks its 30th anniversary, celebrating three decades of providing locally engineered IT solutions and expanding its international footprint supporting financial services, hospitality and enterprise clients.

Sri Lankan students won multiple awards at the APICTA Awards 2025 in Taiwan, led by Ahamed Ammar Shiham (2nd Runner-up, Junior) and Thewnitha Piyadasa (Merit Award and People's Choice), with ESOFT Uni sponsoring the delegation. FITIS, UCSC and the Ministry of Education supported the participants.

Dialog Axiata (DIAL.N0000) partnered with Starlink to deliver high-speed, low-latency satellite internet across Sri Lanka for enterprises and underserved areas. Dialog will act as an authorised Starlink agent and offer services via its corporate channels with installation and support.

Rootcode Connect 2025 in Tallinn convened government and tech leaders on AI in e‑governance and highlighted Rootcode’s work building national AI infrastructure for three EU governments, including a government model training platform used across state agencies. Rootcode is also developing the next-generation Bürokratt citizen engagement platform in Estonia.

GovPay, Sri Lanka’s government digital payment platform, closed 2025 with over Rs. 2 billion in total digital transactions. Launched in Feb 2025, it processed over 69,000 transactions across 3,372 services and 215 institutions.

TiECon Sri Lanka 2026, the inaugural 'Go Global' summit by TiE Colombo, will bring global mentors, speakers and investor delegations to help Sri Lankan businesses scale internationally. The conference includes curated sessions and a network lounge to connect entrepreneurs with investors and partners.

Dialog Axiata (DIAL.N0000) commercially launched Dialog 5G Ultra, operating over 220 live sites and connecting more than 1.5 million subscribers after securing 3500 MHz and 27 GHz spectrum, and pledged $100m of investment over the next two years. The rollout also includes 5G roaming partnerships across 76 countries.

China's recommendations for the 15th Five-Year Plan (2026–2030) prioritize advancing AI from 'usable' to 'effective' to support high-quality growth, national security and global competitiveness. The author urges Sri Lanka to learn from China's strategic AI focus.

Dialog Axiata PLC commercially launched Dialog 5G Ultra, powering over 220 live 5G sites and connecting more than 1.5 million subscribers. It secured 3500 MHz and 27 GHz spectrum blocks and plans to invest USD 100 million over the next two years to expand 5G coverage.

Advice on steps to take before losing a mobile phone: record the IMEI, verify Google/iCloud account details, enable Find My Device/Find My iPhone and Location Services, use strong locks and eSIM, and require authentication to power off to aid recovery and protect data.

SLASSCOM's 2025 Compensation & Benefits Survey shows Sri Lanka's tech services sector is seeing pay stabilisation as firms shift to performance- and skill-based rewards. 52% of survey respondents operate as Global Capability Centres and sector exports were $671.6m in the first ten months of 2025 (down 3.8% y/y).

KAL held an ATM innovation workshop and business summit in Colombo and says it has invested in a Colombo office as it scales its local presence. The event, run with regional partner Flix11, featured live demos, a panel with bank CEOs and focused on ATM resilience, contactless integration and digital transformation.

Prime EV Automobiles’ Deepal launched Sri Lanka’s first EV smart mobile app, developed with Changan, enabling remote vehicle monitoring and control (charging status, range, climate, remote unlocking and digital key sharing).

The Information and Communication Technology Agency (ICTA) held a Market Readiness & International Market Access workshop for IT SMEs on 16 as part of the Digi-Industry initiative under the Ministry of Digital Economy's 2025 action plan, focusing on export readiness, go-to-market strategies and IP/legal guidance to help local IT product companies scale internationally.

IQ Global has partnered with Fonia to launch Fonia Digital, an AI-powered mobile advertising platform, into the Sri Lankan market. The platform offers AI-driven, real-time audience targeting and big-data bidding to improve ad precision and ROI for local brands.

Netflix said its position on acquiring Warner Bros Discovery's assets is unchanged after winning a $72 billion equity vote, even as Paramount launched a $108.4 billion hostile enterprise bid; Netflix said it will commit to theatrical releases and expects regulatory scrutiny.

World Bank Group will make up to $120 million available by repurposing existing project funds to support Sri Lanka's recovery from Cyclone Ditwah, restoring healthcare, water, education, agriculture and infrastructure. The IFC will also provide advisory support and targeted investments to bolster agriculture, manufacturing, logistics and MSMEs.

The Inland Revenue Department has deferred the implementation of the new VAT tax invoice format to 1 April 2026 (it had been due on 1 January 2026). The IRD said the revised timeline follows requests from many VAT-registered persons and an amendment to the Gazette will be issued.

World Bank is providing $120mn to Sri Lanka by repurposing existing project funds to support cyclone recovery. The emergency support will restore health care, water, education, agriculture and connectivity, and IFC will offer advisory support and investments to agriculture, manufacturing and logistics while a GRADE assessment seeks further financing.

World Bank is making up to US$120 million in emergency support available to Sri Lanka by repurposing funds after Cyclone Ditwah. The support will restore essential services (health care, water, education, agriculture, connectivity) and the IFC will provide advisory and investments to help private-sector recovery (agriculture, manufacturing, logistics, MSMEs).