Sri Lanka Navy earns USD 598,250 in four months after taking full control of maritime security operations

Sri Lanka has earned USD 598,250 in less than four months after handing full Onboard Security Team operations to the Sri Lanka Navy, with all revenue now credited directly to the Government’s Consolidated Fund in US dollars.

A major policy shift by the Sri Lanka Navy has significantly increased state revenue from Onboard Security Team Security (OBST) services provided to foreign vessels operating in Sri Lankan waters.

The provision of OBST services was first initiated by the Sri Lanka Navy in 2009. In 2012, the service was managed as a joint venture between Rakna Arakshaka Lanka Ltd (RALL) and Avant Guard Maritime Services (AGMS). Although the service was returned to the Navy in 2015 and later transferred back to the RALL–AGMS joint venture in 2021, a decisive change was made on August 10, 2025, through an extraordinary gazette notification.

Under this new directive, full authority and responsibility for OBST services were reassigned to the Sri Lanka Navy with the objective of maximizing government revenue and strengthening foreign exchange earnings.

Financial data shows a clear impact. From October 03, 2025, to February 08, 2026 — a period of less than four months — the Navy’s direct operations contributed USD 598,250.00 to the Government’s Consolidated Fund. All payments from international companies are now credited directly in US dollars without intermediaries.

Under the previous joint venture model (September 2021 to July 2025), the operation generated approximately USD 14.12 million over nearly four years. However, during that period, the Navy received only 15 percent of the total revenue, and that share was paid in Sri Lankan Rupees. The remaining 80.75 percent was received by Avant Guard Maritime Services, while 4.25 percent went to Rakna Arakshaka Lanka Ltd.

It has also been revealed that Avant Guard Maritime Services has not paid the Sri Lanka Navy LKR 782 million due for the period from December 01, 2014, to November 13, 2015.

Officials state that with the Navy now directly implementing security operations for foreign vessels, the government secures maximum foreign exchange revenue while reinforcing Sri Lanka’s security standards, accountability, and diplomatic credibility within the international maritime sector.