Sri Lanka is implementing a bold strategy to achieve a ‘super return on investment (ROI)’ through a comprehensive digital transformation, targeting the creation of a US$ 15 billion digital economy, according to Dr. Hans Wijesuriya, Chief Advisor to the President on Digital Economy and Chairman of the Information and Communication Technology Agency (ICTA).
Speaking at the launch of the Institute of Policy Studies’ ‘State of the Economy 2025’ report last week, Dr. Wijesuriya emphasized that digital transformation is the key to driving economic growth within a limited fiscal space by unlocking efficiency, boosting competitiveness, and generating strong economic multipliers.
He explained that the government’s vision centers on moving away from inefficient, siloed systems—where individual agencies develop isolated solutions—toward building foundational horizontal platforms. These include digital public infrastructure (DPI) such as a national digital ID, data exchanges, digital signatures, and federated payment systems.
Dr. Wijesuriya pointed out that Sri Lanka currently has “islands of excellence”—high-performing but disconnected digital systems—which create friction for citizens and businesses. The new strategy aims to interconnect these systems through open APIs, enabling entrepreneurs and SMEs to rapidly create innovative, value-added digital services across key sectors.
Addressing funding concerns, he noted that investment in core DPI components would be cost-effective, thanks to the use of open-source software and cloud-based infrastructure. The government will directly fund this foundational layer while promoting private-sector participation in broader areas such as telecom connectivity and cloud computing.
The implementation timeline is ambitious, with the foundational DPI layer expected to be completed within two to four years, rather than a decade. The broader goal of achieving 100% broadband connectivity is targeted for 2030.
To deliver early economic gains, the government will prioritize tourism, logistics, and trade, where digital improvements can have immediate positive impacts.
However, Dr. Wijesuriya stressed that technology alone cannot solve all challenges. The plan includes crucial “analog complements”—reforms in laws, policies, and administrative processes. Among the key challenges are procurement delays that burden SMEs, the need to re-engineer business models alongside digitalization, and bridging the digital divide through “purpose-driven technology” that delivers tangible benefits to citizens.
Central to this transformation, he said, is the creation of a “trustworthy digital destination” through strong frameworks for cybersecurity, data privacy, and intellectual property protection. These efforts will be anchored by the newly established Data Protection Authority and a forthcoming cybersecurity law, ensuring that Sri Lanka’s digital economy is both innovative and secure.
