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Sri Lanka's quiet regulatory shift: Can evidence-based rules unlock new growth?

Daily FT

|

December 30, 2025

Following are excerpts of an interview with Science and Technology Ministry Director (Planning) Prabath Chaminda Abeysiriwardana about why a regulatory shift matters.

Sri Lanka's quiet regulatory shift: Can evidence-based rules unlock new growth?

SRI Lanka is positioning itself for recovery and long-term growth while trying to rebuild institutional credibility. Beneath the highprofile reform headlines sits a quieter but essential shift: changing how regulations are made.

In 2025, the Ministry of Science and Technology (MOST) revived efforts to introduce Regulatory Impact Assessment, or RIA, a structured process used globally to analyse different policy options before rules are introduced. The initiative is supported through technical assistance from the United Nations Industrial Development Organisation (UNIDO) under the EU-funded BESPA-FOOD programme, and is now being embedded within the country's National Quality Infrastructure agenda.

Seven pilot projects, launched through a dedicated workshop, are now underway across key regulatory agencies, marking the first practical application of RIA in Sri Lanka. These initiatives signal a tangible step toward embedding evidence-based policymaking into the country's regulatory framework.

For many years, regulations in Sri Lanka have been designed mainly from a control-and-compliance mindset. They often aim to solve real issues, but without fully considering how they affect businesses, citizens, or Government efficiency. When rules are made without proper analysis or consultation, they can increase costs, delay investment, and reduce competitiveness.

RIA helps us design regulations more thoughtfully. It also ensures that rules are introduced only when they are genuinely needed. We start with the problem, test different options, assess the costs and benefits, and consult the people who will be affected. This approach leads to rules that are more effective, easier to implement, and more trusted because the solutions are practical and fair to the people they impact.

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