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 Sri Lanka's massive victory over Australia in the second Test at Galle has had major ramifications on the ICC World Test Championship (WTC) standings, with the Pat Cummins-led side losing the No. 1 spot to South Africa.

Sri Lanka recorded a stunning innings and 39-run victory over the visitors at the Galle International Stadium on Monday with Australia dismissed for a paltry 151 in the second innings. With the victory, the Dimuth Karunaratne-led side levelled the series at 1-1.

Australia had won the opening Test at the same venue by 10 wickets.

The win on Monday helped Sri Lanka jump ahead of a trio of rivals and up to third on the latest WTC standings. But it's right at the top of the standings that now has a new look, with Australia losing their place as No. 1.

South Africa take over as the new leader on the latest standings with a win-loss percentage of 71.43 per cent, while Australia drop to second with 70 per cent after their first Test loss in the current period.

Sri Lanka are now firmly in the mix for the World Test Championship final next year, with their win helping them jump in front of Pakistan, India and West Indies and up to third on the standings.

Despite the absence of a host of key players due to Covid-19, Sri Lanka got dominant performances from star batter Dinesh Chandimal and debutant Prabath Jayasuriya in the second Test to cruise to an easy victory.

It means Dimuth Karunaratne's side now has a 54.17 win-loss percentage and has them ahead of a host of close rivals in the race for the World Test Championship mace. Sri Lanka don't have to wait long to close the gap even further on the sides in front of them on the standings, with a two-match Test series at home against Pakistan commencing later this month.

Australia, meanwhile, take a short break from five-day cricket, with their next Test assignment coming at home against West Indies at the end of November.