Transforming transit payments in Sri Lanka: Practical and inclusive path forward

THE public transport sector of Sri Lanka plays a vital role as a backbone of this nation's economy, facilitating affordable daily commutes to millions of workers, enabling intercity travel and providing essential connectivity for both locals and tourists exploring this beautiful island nation.

- By Dulanjana Kumaratunge

Digital transformation continues to feature prominently in Sri Lanka's national agenda of discussion, with public transport identified as a priority area for modernisation. While there is consensus on the fact that digitisation is essential and time critical, the methodology of implementation remains a topic of debate, with the emphasis focused on what would make most sense within the Sri Lankan context. Any proposed solution must account for the unique behavioural patterns of this nation's citizens, while having a pragmatic understanding of the financial and infrastructure limitations that we are dealing. The goal must be to estab ish a solution that is effective, widely adopted and most importantly sustainable in the long term.

To set the stage for the discussion, it is important to first examine the current state of affairs. Sri Lanka's public transport sector remains predominantly cashdriven, with an estimated Rs. 15 to 18 billion in circulation each month. This heavy reliance on cash introduces systemic inefficiencies from slowing down boarding times, prolonging fare collection, to limiting transparency for operators, regulators, and commuters alike.

Compounding the challenge the presence of multiple stakeholders across the sector from private and Sri Lanka Transport Board (SLTB) buses, to the national railway network. Each of these segments contribute to the complexity of implementing a unified digits fare collection system.