COLOMBO, July 2 -- The World Bank on Thursday (2) announced the reclassification of Sri Lanka as an upper-middle-income economy effective July 1, 2026, based on its Gross National Income (GNI) per capita calculated using the Atlas method.

Marking a symbolic milestone, the reclassification follows a sharp economic rebound after the country's 2022 financial crisis and debt default, during which Sri Lanka experienced severe shortages of fuel, food and medicine, soaring inflation and its deepest economic contraction in modern history.

The World Bank's latest classification places Sri Lanka among countries with a GNI per capita of between US$4,636 and US$14,375. Sri Lanka's GNI per capita reached US$4,670, narrowly exceeding the lower thresh...