Back in 2017/2018, a SE was paid barely around 65K / 70K LKR.
These days a Fresh Grad will get around 250K LKR (base + peg) on average. (while Sysco and WSO2 pays more than 400k LKR (all inclusive) package for a fresher)
If industry is saturated with 'skilled' candidates, there's enough opportunities for employers to cut down wages allocated to a single person and hire multiple people for a lower package.
But its not happening anywhere AFAIK. So this clearly implies that the majority of those IT graduates are less skilled and/or less talented (thanks to those factories that produce bunch of IT machines each year).
If you are skilled enough, no one can stop you from getting a job for a decent wage.