Sri Lanka, Sept. 2 -- The merchandise trade deficit widened by nearly 69 percent to US$ 6.51 billion in the first seven months of 2026, as a sharp increase in imports outpaced export growth, Central Bank data showed.

The deficit stood at US$ 3.85 billion in the corresponding period of 2025.

Import expenditure increased 25.8 percent year-on-year to US$ 14.64 billion during January-July, driven partly by higher spending on fuel and motor vehicles. In contrast, export earnings rose only 4.4 percent to US$ 8.14 billion.

The deterioration was more pronounced in July, when the monthly trade deficit nearly doubled to US$ 1.02 billion from US$ 580 million a year earlier.

Imports increased 19.6 percent year-on-year to US$ 2.25 billion during ...