The recognition comes amid growing financial uncertainty among retirees globally. A recent report by US-based insurance company F&G found that nearly a quarter of American seniors postponed their planned retirement in 2025 — a 14 percent increase compared to the previous year — largely due to concerns about financial preparedness.
According to the ranking, Sri Lanka offers retirees the opportunity to maintain a high standard of living at relatively low monthly expenses. Expat testimonials cited in the report indicate that couples can live comfortably on approximately US$2,200 per month, covering housing, food, transport, healthcare and leisure.
Affordable accommodation remains one of the island’s strongest attractions, with beachside villas available for under US$400 per month and utility costs remaining comparatively low. Dining out is also considered budget-friendly, with three-course meals for two priced around US$50, while fresh seafood and local produce are available at significantly lower prices than in many Western countries.
Transportation costs further enhance affordability, with long-distance train journeys and local travel costing only a few dollars.
Access to healthcare is another key factor highlighted in the report. Private hospitals in Colombo are noted for offering modern facilities and dependable medical services. In addition, Sri Lanka’s retirement visa requirements are described as relatively straightforward and cost-effective when compared with other Asian destinations.
Other countries featured among the most affordable retirement destinations for 2026 include Vietnam, Thailand, Bali, and Malaysia.
