ECONOMYNEXT – Population under 15 years of age has declined by 4.5 percent in Sri Lanka while the number of people aged more than 65 years has increased by 4.7 percent in the 15 years through last year, the island nation’s latest Population Census showed.
It also shows, the people aged 15-64, which is considered as the working-age population, have declined marginally by 0.2 percent.
According to Sri Lanka’s Census of Population and Housing 2024, released by the Department of Census and Statistics on Thursday (30), the country is undergoing demographic aging alongside a high dependency burden on its working-age population.
The total population stands at 21.78 million, with children under 15 comprising just 20.7 percent (down from 25.2 percent in 2012), the working-age group (15-64) at 66.7 percent (a slight dip from 66.9 percent in 2012), and those aged over 65 surging to 12.6% (up from 7.9 percent in 2012).
This shift has nudged the overall dependency ratio, dependents (under 15 and over 65) per 100 working-age individuals, to 49.8 percent from 49.4 percent in 2012, signaling fewer workers supporting a growing elderly cohort.
This aging profile poses profound challenges for Sri Lanka’s economy and society, exacerbating vulnerabilities amid its recent financial crisis and youth emigration.
With a shrinking workforce, labour shortages loom in key sectors like agriculture, garments, and services, potentially stifling GDP growth, reducing tax revenues, and inflating public spending on pensions, healthcare, and eldercare, projected to double the elderly population’s fiscal strain by 2037.
The move is likely to increase intensified care giving, analysts say, while the state will be compelled to reform policies including raising retirement ages, incentivizing fertility and female workforce participation, boosting productivity through automation, and possibly easing skilled immigration.
Sri Lanka has already increased the retirement age tp 60 from 55, while some special professionals are allowed to work until 63 in the state sector. (Colombo/October 31/2025)
