Opposition Leader Sajith Premadasa has claimed that the Government does not have accurate and up-to-date data on poverty in Sri Lanka, questioning how it intends to formulate policies and present the 2027 Budget on November 12 without updated household income and expenditure data.

Addressing a meeting of Samagi Jana Balawegaya (SJB) Colombo District organisers and local government members, Premadasa criticised a 104-page socio-economic data publication jointly by the Central Bank and the Department of Census and Statistics, saying that some of the poverty-related information contained in it was based on data from 2016 and 2019.

According to Premadasa, pages 1 to 18 of the report contain data from 2021, 2023, 2024 and 2025, while pages 18 to 35, which deal with poverty-related matters, contain data from 2016 and 2019. He said pages 35 to 104 contain data from 2023, 2024 and 2025.

Premadasa argued that poverty-related policies and the poverty line were therefore being based on older Household Income and Expenditure Survey data.

He also said the six-page summary of the report includes information on income distribution and household income and expenditure, but claimed the underlying information relating to poverty was outdated.

The Opposition Leader further alleged that both the current and previous governments had implemented the Aswesuma welfare programme following the 2022 economic crisis without sufficiently updated Household Income and Expenditure Survey findings, claiming that the methodology used to determine eligibility was not adequately based on current data.

Premadasa also cited World Bank figures, claiming that 65.4% of Sri Lanka’s population falls below a US$8.30-per-person-per-day poverty benchmark, equivalent, according to his calculation, to around Rs. 2,724 per day.

He contrasted this with Sri Lanka’s official poverty line, referring to a figure of Rs. 17,315 per person per month. The Department of Census and Statistics currently lists the national official poverty line for July 2026 at Rs. 17,679 per person per month.

Premadasa further claimed that the World Bank projects the proportion below the benchmark he cited to decline by only around two percentage points to 63.4% by 2028.

He also cited figures indicating that 33% of Sri Lanka’s 6.1 million households face severe food insecurity, while accusing the Government of failing to adequately reflect the economic difficulties faced by households.

Premadasa questioned how the Government could present the Budget on November 12 without updated Household Income and Expenditure Survey results.

The Department of Census and Statistics says the HIES is generally conducted once every three years and is used to measure living conditions and calculate socio-economic indicators, including poverty-related measures. Its current release calendar lists the HIES 2025 Final Bulletin for December 31, 2026 and the Poverty Indicators 2025 Bulletin for February 16, 2027.

Premadasa also questioned comparisons involving Sri Lanka’s Human Development Index, arguing that reliance on older poverty data raised concerns about comparisons with Asian, SAARC and G7 countries. (Newswire)

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The Committee on Public Finance turned its attention to the 2027 budget estimates of the National Audit Office, holding detailed discussions on modernising audit processes, retaining skilled staff, and strengthening oversight of state institutions.

With Chairman MP Harsha de Silva absent, the meeting was chaired by MP Ravi Karunanayake, appointed temporary chairman under standing orders. Deputy Ministers Chathuranga Abeysinghe, Nishantha Jayawira, and Kaushalya Ariyaratne, together with MP Lakmali Hemachandra, attended the session, while MP Wijesiri Basnayake joined online.

The committee stressed the need to expand the use of modern technology and data analysis tools to improve efficiency and quality in audit work. Members noted that technical transformation would enhance state financial management oversight.

Concerns were raised over retaining skilled audit officers, who are often transferred to other sectors after training. The committee discussed introducing a suitable allowance system to ensure experienced officers remain in service.

Discussions also focused on weaknesses in internal control systems of state institutions, with emphasis on the responsibility of officials to implement recommendations presented by the Auditor General. Practical challenges in auditing the Samurdhi Bank were highlighted, with calls for strategic and legal reforms to strengthen efficiency.

Committee members underlined the importance of preparing a clear outcome‑based plan for audit modernisation, alongside effective management of staff and resources.

Meanwhile, attention was drawn to a proposal before Parliament to determine monthly salaries and allowances for the chairman and members of the National Women’s Commission, established under the Women’s Empowerment Act.

During the discussion, attended by all Commission members, the committee reviewed its current operations, future plans, and responsibilities in promoting and protecting women’s rights, investigating complaints, and recommending legal reforms. Infrastructure, staffing, and administrative needs to bring the Commission to full operational level were also discussed.

The committee noted that at least three members must serve full‑time, but current allowances are insufficient. It informed the Ministry of Finance that additional allowances for full‑time members should be reconsidered. (Newswire)

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The Ministry of Housing, Construction and Water Supply has drawn attention to allocating provisions from the 2027 Budget to complete houses left unfinished across the country.

Minister Susil Ranasinghe told Parliament’s Advisory Committee that action will be taken based on recommendations from a five‑member panel co‑chaired by two former Ministry Secretaries. 

The committee has already begun gathering data on stalled housing projects, identifying those in usable condition, and preparing proposals for next steps.

According to the Minister, nearly 5,000 housing projects started under previous governments remain incomplete due to loans and aid funds not being fully disbursed. Final decisions on these projects will be made once the committee submits its recommendations.

Ranasinghe added that assistance will be provided next year to families needing completion of partially built houses, with around 2,000 families expected to benefit.

Members of Parliament at the meeting also raised housing and water supply issues in their constituencies. 

The Ministry agreed to convene a special session with all stakeholders to discuss housing challenges, including projects for low‑income families in the Colombo District. (Newswire)

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Sri Lanka has recorded an overall budget surplus of nearly Rs. 197 billion during the first five months of 2026, marking a significant turnaround from the deficit recorded during the corresponding period last year, according to Advocata Institute CEO Dhananath Fernando.

Explaining the latest fiscal data, Fernando stressed that the figure represents an overall budget surplus and should not be confused with the primary balance, which excludes interest payments on government debt.

“From January to May, revenue was higher than expenditure. We have recorded a budget surplus of approximately Rs. 197 billion,” Fernando said.

He noted that during the first five months of 2025, Sri Lanka had recorded a budget deficit of approximately Rs. 236 billion, making this year’s performance a significant reversal.

Fernando attributed much of the improvement to stronger government revenue collection, particularly tax revenue.

According to the figures cited by him, government revenue and grants increased by around 13.6% to approximately Rs. 2.54 trillion during the first five months of the year.

Tax revenue increased by around 23.9% compared with the corresponding period last year, while non-tax revenue also recorded a substantial percentage increase, although it represents a considerably smaller component of overall government revenue.

The Government’s primary balance has also strengthened significantly, Fernando said, noting that the primary surplus during the first five months of 2026 was around 50% higher than during the corresponding period of 2025.

Fernando said the stronger fiscal position provides the Treasury with greater flexibility and could reduce the need to borrow for certain expenditure and debt repayments.

However, he cautioned against assuming that the performance during the first five months would necessarily continue throughout 2026.

“There are another seven months to go,” he said, pointing out that interest and debt-servicing payments can vary considerably from month to month and could affect the overall fiscal balance later in the year.

Government expenditure has also increased, according to Fernando. Recurrent expenditure rose by around 5.5% to approximately Rs. 2.11 trillion, while capital expenditure and net lending increased significantly.

He said Sri Lanka’s improved revenue position has largely been supported by stronger tax collection and greater tax compliance, but warned that fiscal consolidation should not depend solely on imposing a heavier tax burden on the public.

Fernando argued that reducing unnecessary government expenditure should accompany efforts to increase revenue, noting that a budget deficit can be narrowed both by increasing income and controlling spending.

He also said the availability of additional fiscal space could allow the Government to increase capital expenditure on infrastructure and other development projects or provide a buffer against unexpected economic, geopolitical or natural-disaster-related shocks.

However, Fernando stressed that the additional funds available to the Treasury ultimately come largely from taxpayers and should therefore be spent in a manner that provides broader benefits to the public.

Describing the fiscal turnaround through a football analogy following the recent World Cup final, Fernando said the Treasury had also “scored a superb goal”, but cautioned that Sri Lanka’s fiscal performance must be assessed over the full year before firm conclusions are drawn. (Newswire)

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President Anura Kumara Dissanayake chaired a pre‑budget discussion at the Presidential Secretariat yesterday (20), focusing on the Ministry of Women and Child Affairs. 

The meeting reviewed the progress of projects implemented under the 2026 budget and examined proposals for the upcoming 2027 allocations.

Officials presented updates on recurrent and capital expenditures carried out by the Sri Lanka Women’s Bureau, the National Commission on Women, the National Secretariat for Early Childhood Development, the Department of Probation and Child Care Services, and the National Child Protection Authority.

The President also evaluated the progress of key programs, including institutional care and guardianship, living allowances for street children, nutritional food allowances for pregnant mothers, morning meals for preschool children, and the ‘Guru Abhimani’ allowance scheme for preschool teachers. 

He stressed that the nutritional food allowance for pregnant mothers must be implemented under strict supervision to ensure its intended goal of improving maternal nutrition, rather than becoming another cash‑grant project.

Progress of the monthly allowance program for children orphaned by Cyclone Ditwah was also reviewed, with the President emphasizing the need for swift disbursement to affected children. 

Discussions further covered the child protection program under the National Child Protection Authority, aimed at identifying and rescuing vulnerable children. 

The President highlighted the importance of a proper data system, noting that 2027 budget allocations would be based on accurate data. (Newswire)

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President Anura Kumara Dissanayake has pledged to elevate Sri Lanka’s healthcare system to internationally recognised standards, stressing that the Government is ready to allocate the necessary funding to achieve this goal. 

Addressing a pre‑Budget discussion on the Ministry of Health at the Presidential Secretariat yesterday (08), the President said reforms must go beyond incremental changes, with greater emphasis on strengthening primary healthcare, modernising hospital technology, and ensuring efficient, standardised services accessible to all citizens. 

The meeting reviewed the progress of projects implemented under the 2026 Budget allocations and discussed proposals for the 2027 Budget. 

Progress of the programme to establish ‘Arogya Suwa Seva Centres’ to strengthen primary healthcare was reviewed during the discussion, and the President instructed officials to place greater emphasis on further strengthening primary healthcare services. 

The meeting also reviewed, sector by sector, the progress of projects implemented under the Ministry of Health and Mass Media using 2026 Budget allocations, while funding requirements for 2027 were also discussed.

The President further instructed officials to submit, without delay, scientifically based strategic proposals aimed at improving the quality of Sri Lanka’s healthcare service. 

Special attention was also paid to the technological transformation required within the hospital system. The President pointed out that establishing advanced technological facilities accessible to people across the country would significantly enhance the quality of healthcare services. 

He noted that this would enable the State hospital system to provide efficient and standardised healthcare services while reducing the high costs incurred by the public when seeking treatment from the private sector. 

Discussions also focused on strengthening the Suwa Seriya ambulance service and ensuring that hospitals procure only internationally compliant, fully equipped high-technology ambulances instead of conventional vans. 

It was revealed that the current Government has recommenced 26 large-scale healthcare construction projects that had been suspended midway due to the previous governments halting capital expenditure. These include the five-storey building complex at the Monaragala District Hospital and Emergency Treatment Units at the Trincomalee, Ampara and Chilaw hospitals. In total, work is now under way on 48 healthcare construction projects. 

The meeting also discussed technological solutions to address issues related to pharmaceutical procurement to ensure an uninterrupted supply of medicines to hospitals, expanding the Ministry of Health’s facilities for testing the quality of medicines, and programmes implemented with the support of organisations such as UNDP and UNICEF. 

Progress on digital healthcare initiatives was also reviewed, including the Patient Health App, telemedicine services and the establishment of a National Electronic Health Record system, enabling patients’ medical records to be accessed from any hospital. 

It was also decided to conduct a comprehensive review of the healthcare workforce, address issues faced by newly appointed doctors during the review process, and discuss recruitment-related issues concerning healthcare personnel with the Ministry of Finance. 

The meeting further reviewed progress in providing physical resources to the Government Film Unit, journalist training programmes and the establishment of school media societies. Attention was also given to a proposal to establish a dedicated media operations centre to facilitate the exchange of information between the Government and all journalists. 

The President also stressed the need to modernise the Department of Posts and the Government Printing Department by moving away from outdated systems and adopting modern technology. (Newswire)

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President Anura Kumara Dissanayake announced today (08) that the 2027 Budget will prioritize stable, long‑term solutions to Sri Lanka’s chronic drinking water problem, with the largest allocations in history set aside for nationwide projects.

Speaking at the Presidential Secretariat during a review of 2026 Budget projects under the Ministry of Housing, Construction and Water Supply, the President stressed that inefficiencies caused by overlapping institutions must be eliminated, directing that non-productive agencies be abolished to reduce financial burdens.

The discussion focused on the progress of major water initiatives including the Kandy–Northern Integrated Water Supply Project, Greater Colombo Wastewater Management Project, Ambatale Water Supply Project, and Anuradhapura–Northern Water Supply Project.

Beyond water, the President instructed officials to expedite the resettlement program for war‑displaced communities and to launch housing assistance for semi‑constructed homes of low‑income families. 

He also reviewed the progress of the government’s housing initiative, and discussed budget allocations for its continuation in 2027. (Newswire)

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The Sri Lanka Muslim Congress (SLMC) has suspended the party membership of Colombo Municipal Councillor Zohara Buhary with immediate effect, for voting in favour of the Council’s budget.

In a letter issued by SLMC Secretary Nizam Kariapper, it was noted that Buhary voted in favour of the Colombo Municipal Council Budget Proposal despite the Party Leader, Rauff Hakeem, having personally instructed members of the Opposition to oppose it. 

The SLMC described her conduct as a “gross violation of party discipline.”

The letter further directs Buhary to submit an affidavit within one week explaining why disciplinary action, including termination of her membership, should not be taken. 

The SLMC warned that failure to comply would result in further disciplinary measures without notice. (Newswire)

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The Colombo Municipal Council’s 2026 budget has been passed after being presented for the second time.

The CMC’s 2026 budget was passed today with 58 votes in favour and 56 voting against. 

Previously, the ruling National People’s Power (NPP) lost the first budget vote at the Colombo Municipal Council on 22 December 2025.  

The council’s budget was defeated after the joint opposition voted against it. 60 councillors voted against the budget while 57 supported it. 

However, the second reading of the budget presented today has been passed. (Newswire)

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Samagi Jana Balawegaya (SJB) MP Mujibur Rahman says that while the National People’s Power (NPP) once defeated his party through a secret vote, today they have openly been defeated by voting down the Colombo Municipal Council budget.

He further noted that this outcome has occurred within just six months, a relatively short period of time.

MP Rahman went on to add that the President must understand that votes cannot be secured simply by offering biryani at night to councillors.

“You came into power to end the political practice of offering privileges and biriyani to MPs and councillors. But after coming into power, you have also continued with the same practice. Now, we have sent a message to the government proving that they do not hold power in the CMC. From now on, the CMC will be controlled by the joint opposition,” he added. 

MP Mujibur Rahman made the remarks while speaking to the media after the Colombo Municipal Council budget was defeated yesterday. (Newswire)

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The defeat of the Colombo Municipal Council’s budget does not threaten the survival of the ruling administration for at least two years under Sri Lanka’s local government law, electoral reform analyst Manjula Gajanayake said following the vote.

Gajanayake, executive director of the Institute for Democratic Reforms and Electoral Studies, said elected heads of local authorities are legally protected from removal for a minimum of two years, regardless of budget defeats.

“There is no legal mechanism to dissolve a municipal council or remove its leadership within the first two years simply because a budget is defeated,” he said, stressing that local councils operate under a different framework from Parliament.

The ruling National People’s Power (NPP) lost the budget vote at the Colombo Municipal Council on Dec. 22 after a joint opposition bloc voted against the financial estimates.

Under the Local Authorities (Special Provisions) Act No. 21 of 2012, a council whose budget is defeated is allowed to re-present the budget within two weeks, with or without amendments. If the revised budget is also rejected, the mayor is legally empowered to proceed with the original financial estimates using executive authority.

Gajanayake said this legal structure guarantees continuity of governance for a full two-year period, preventing political manoeuvring from triggering abrupt changes in control.

“Even repeated budget defeats do not remove the administration during this two-year window,” he said. “The law was specifically amended to prevent councils from being toppled through short-term political bargaining.”

He added that an elected mayor or chairperson can only be removed through resignation, death, expulsion following a formal inquiry into misconduct initiated through the governor, or party disciplinary action — not through budget votes in first two years.

While the budget defeat has no immediate administrative or legal impact, Gajanayake said it is politically significant and could weaken the ruling party’s ability to govern effectively within the council.

“The consequence is political pressure, not institutional collapse,” he said. (Newswire)

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Colombo Mayor Vraîe Cally Balthazaar said the Colombo Municipal Council budget was to decide the future of Colombo city and not the council.

Vraîe Cally Balthazaar said after establishing control of the local council, the NPP administration cordially worked with all members, irrespective of their parties.

“You didn’t defeat the NPP’s budget, you defeated your conscience and the budget of conscience,” she told CMC councillors, after the ruling National People’s Power (NPP) lost the budget vote at the Colombo Municipal Council.

Vraîe Cally Balthazaar urged those who voted against the budget to think about what they had done to the expectations of the people of Colombo. 

“Evil people doing bad things is normal. But good people banding together when something bad occurs is even scarier,” she added. 

The Colombo Mayor made the comments after the ruling NPP lost the budget vote at the Colombo Municipal Council yesterday, after the joint opposition voted against it. 60 councillors voted against the budget while 57 supported it. (Newswire)

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Speaker Jagath Wickramaratne has announced an amended schedule for the Committee Stage debates on the Budget 2026 in Parliament.

The Speaker adjourned Parliament for 30 minutes this morning to discuss the Parliament schedule in view of the prevalent disaster situation in the country.

As such, it has been decided to conclude today’s Parliament sitting for the Committee Stage budget debates at 12.30 pm.

Parliament will convene again at 09.00 am on Wednesday, December 03. (Newswire)

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It has been decided not to hold the Committee Stage budget debates in Parliament tomorrow and the day after, taking into account the prevailing disaster situation in Sri Lanka. 

This decision was made during the Party Leaders’ meeting held in Parliament this afternoon (27).

Accordingly, Parliament is scheduled to reconvene on Monday, and it has been decided that sittings will continue into the night on both Monday and Tuesday.

On those two days, the scheduled debates will be held from 9.00 am to 6.00 pm, while the debates that were to be held tomorrow and the day after will instead take place from 6.00 pm until night on Monday and Tuesday. (Newswire)

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The Sri Lanka Freedom Party (SLFP) has announced that it will take strict disciplinary action against party members who supported the National People’s Power (NPP) during the recent budget approvals in local government bodies.

Issuing an official statement, the SLFP confirmed that it has already temporarily suspended the party membership of those who voted in favour of the NPP.

The SLFP further stated that it has begun seeking explanations from the concerned members and will proceed with further disciplinary measures based on their responses. (Newswire)

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The Chairman of the Arachchikattuwa Pradeshiya Sabha, S.J.M. Jayaratne, has come under fire for berating a Samagi Jana Balawegaya (SJB) female councillor, following the defeat of the local council’s budget yesterday. 

SJB councillor Nikini Ayodhya had filed a complaint with the Police following the incident. 

Speaking to the media, the Arachchikattuwa Pradeshiya Sabha Chairman, an NPP councillor, said he was under immense pressure at the time of the incident. 

“I spoke a bit harshly. I also believe she is unsuitable to be a councillor. I am under immense pressure,” he said. 

Meanwhile, the SJB councillor told the media that she has decided to step down from politics and intends to hand in her resignation letter to the Party Leader. (Newswire)

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The Parliamentary Committee on Public Finance (COPF)  has granted its approval for the Appropriation Bill for the year 2026.

This approval was given during a committee meeting held in Parliament yesterday (23) under the chairmanship of Opposition MP Harsha de Silva.

Officials from the Ministry of Finance, who attended the meeting, briefed the Committee on the allocation of funds for various sectors and the targets set for the year 2026. 

After an extensive discussion on these matters, the Committee granted its approval for the Bill

The Appropriation Bill for the year 2026 is scheduled to be presented to Parliament for the second reading (Budget Speech) by the President, in his capacity as the Minister of Finance, on the 7th of November. (Newswire)

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The Committee on Public Finance has approved the 2026 budget estimate of the Commission to Investigate Allegations of Bribery or Corruption (CIABOC).

This approval was granted during a meeting of the Committee held in Parliament last week (11), chaired by Opposition MP Harsha de Silva.

During the meeting, the Chairman of the Committee pointed out that just as the Central Bank of Sri Lanka has experienced financial independence, it is important to grant financial autonomy to institutions such as the Bribery Commission and the Auditor General’s Department to ensure greater independence in their operations. 

He further stated that with such financial independence, these institutions would be able to function more autonomously, irrespective of which government is in power, and free from prevailing political authority. 

Accordingly, the Committee decided to inform the Minister of Finance, who is also the President, about this matter.

Additionally, MP Harsha de Silva stated that the remuneration of the Chairman, Director General, and members of the Commission should be aligned with that of the President of the Court of Appeal. 

Therefore, as the salary of the President of the Court of Appeal is revised, the salaries of these officials should also be revised accordingly. The Committee Chair also noted that the necessary intervention will be made in this regard.

Members of Parliament Ravi Karunanayake, Harshana Rajakaruna, (Dr.) Kaushalya Ariyaratne, Wijesiri Basnayake, Sunil Rajapaksha, Nimal Palihena, Thilina Samarakoon, and Nishantha Jayaweera participated in the meeting. (Newswire)

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President Anura Kumara Dissanayake says Sri Lanka’s defence forces must be developed into one of the most professional forces in the world, instructing officials to ensure that the necessary budgetary allocations are properly channelled to provide the required training and facilities to achieve this goal. 

The President issued these instructions while participating in the preliminary budget discussion of the Ministry of Defence for the year 2026, held at the Presidential Secretariat yesterday.

The progress of projects implemented under the budgetary provisions allocated to the Ministry of Defence in 2025 was reviewed at the discussion. Programmes currently being carried out for the Sri Lanka Army, Air Force, Navy, the Civil Security Department and cadet officers were also examined. 

Special attention was drawn to overseas training opportunities provided to members of the defence forces. Noting that such training is distinct from that offered to officials of other government sectors, the President instructed officials to pay particular attention in this regard. 

The President further directed that steps be taken to ensure the families of Civil Security Department members who lost their lives during the war are provided with the same compensation currently extended to families of members of other defence services. 

He also stressed that, as the government already bears a significant cost in maintaining the Sir John Kotelawala Defence University Hospital, its services must be further streamlined and delivered to the public in a more efficient and effective manner. 

A number of other matters were also discussed, including construction projects related to the Ministry of Defence and welfare measures for members of the defence forces. 

The discussion was attended by Deputy Minister of Defence Aruna Jayasekara, Secretary to the President Dr Nandika Sanath Kumanayake, Secretary to the Ministry of Finance Dr Harshana Suriyapperuma, Secretary to the Ministry of Defence H.S. Sampath Thuyacontha, Senior Additional Secretaries to the President Russell Aponsu and Kapila Janaka Bandara, the Commanders of the Tri-Forces, officials of institutions under the Ministry of Defence, as well as senior officials of the Ministry of Finance. (Newswire)

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The Parliamentary Committee on Public Finance (COPF) has approved the Budget Estimate of the National Audit Office for the year 2026.

The approval was granted when the budget estimate was taken up for consideration at the COPF in parliament this week (19) and was approved to be presented to Parliament with the Committee’s proposals. 

According to a Parliament statement, this consideration was carried out in terms of Section 34 of the Audit Act No. 19 of 2018.

Given that the COPF Chair, MP Harsha de Silva, was overseas, the said Committee met under the chairmanship of MP Rauff Hakeem, who was appointed as the Acting Chair of the Committee. 

A group of officials representing the National Audit Office, including the Acting Auditor General, G.H.D. Dharmapala, as well as officials from the Department of National Budget, were present at this occasion.

During the COPF meeting, attention was drawn to the issues prevailing in the National Audit Office. Discussions were held on issues including staff shortage and the introduction of modern technology at the Audit Office, which audits nearly 2,000 institutions, including ministries, departments, foreign projects and state enterprises. 

Officials of the Auditor General’s Department stated that at present only about 35 officials at the level of Chartered Accountant are serving in the National Audit Office, and that due to the prevailing salary scales, there is a difficulty in retaining officials who have passed the higher examination bars in accountancy.

In addition, attention was also drawn to the importance of establishing an office system at the provincial level under the National Audit Office, and the possibility of enhancing efficiency with a minimum number of staff through the use of modern technological features such as Artificial Intelligence. (Newswire)

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