Government debt (% of GDP)
What the government owes, measured against the size of the whole economy.
Source: International Monetary Fund · As of 2026 · Provisional · View source
Chart of Government debt (% of GDP) over time. 79.2 % of GDP (2000) → 95.2 % of GDP (2026).
Table
| Period | % of GDP |
|---|---|
| 2000 | 79.2 |
| 2001 | 84.4 |
| 2002 | 96.3 |
| 2003 | 86.5 |
| 2004 | 86.5 |
| 2005 | 76.6 |
| 2006 | 74.3 |
| 2007 | 71.8 |
| 2008 | 68.8 |
| 2009 | 72.8 |
| 2010 | 68.7 |
| 2011 | 69.4 |
| 2012 | 67.5 |
| 2013 | 69.5 |
| 2014 | 69.6 |
| 2015 | 76.3 |
| 2016 | 75.0 |
| 2017 | 72.3 |
| 2018 | 83.6 |
| 2019 | 82.6 |
| 2020 | 96.9 |
| 2021 | 102.7 |
| 2022 | 115.9 |
| 2023 | 109.9 |
| 2024 | 100.2 |
| 2025 | 96.8 |
| 2026 | 95.2* |
Sri Lanka's current situation
Government debt was 95.2 % of GDP in 2026, -1.6 % of GDP versus a year earlier and -7.4 % of GDP over five years. Current status: Concern. Healthy range: Reference points include the Maastricht 60% and the IMF's sustainability frameworks. Below 60% is Good, 60–90% Watch, above 90% Concern — though safe levels are lower for developing economies that borrow in foreign currency. Compared with peers — Bangladesh: 31.2 · India: 46.5.
What is it?
Debt-to-GDP compares the government's total debt with one year of the country's output. Formula: gross general government debt ÷ nominal GDP × 100. A big economy can carry more debt than a small one, so the ratio matters more than the raw amount.
A simple example
If the government owes Rs 100 and the economy produces Rs 100 a year, debt-to-GDP is 100%. Like a household, it is not just how much you owe but how much you earn.
What happens when it is high
High debt means a large share of revenue goes to interest instead of schools, hospitals or roads. Lenders may demand higher rates, and a loss of confidence can trigger a debt crisis or default — as Sri Lanka experienced in 2022. The burden falls on taxpayers and public services.
What happens when it is low
Low debt gives a government room to borrow in a crisis and invest for the future. But very low debt can also signal under-investment — borrowing to build productive infrastructure can be worthwhile.
What is a healthy range
Reference points include the Maastricht 60% and the IMF's sustainability frameworks. Below 60% is Good, 60–90% Watch, above 90% Concern — though safe levels are lower for developing economies that borrow in foreign currency.
Maastricht 60% reference; IMF DSA risk ~90% for EMs.
What might happen next
Official projections
| Source | Year | % of GDP |
|---|---|---|
| International Monetary Fund | 2027 | 91.8 |
| International Monetary Fund | 2028 | 90.1 |
| International Monetary Fund | 2029 | 87.4 |
| International Monetary Fund | 2030 | 84.7 |
| International Monetary Fund | 2031 | 82.4 |
Simple statistical trend
A simple statistical trend, not a prediction of what will happen. Forecasts are uncertain and are not financial advice.
Upside: growth, higher revenue, a stronger rupee and the IMF programme lower the ratio. Downside: slow growth, weak revenue, currency depreciation or new borrowing raise it. Not financial advice.
A simple statistical trend, not a prediction of what will happen. Forecasts are uncertain and are not financial advice.
For experts
Debt sustainability shapes interest payments, taxes, the currency and access to borrowing. It was at the centre of the 2022 crisis and the IMF programme.
How we calculate this
Gross general government debt as a percentage of nominal GDP (IMF). Annual.