President presents 2026 national budget to Parliament

The President's budget statement is as follows:

·         The government was able to establish state fiscal stability within one year.

·         The government took maximum measures to maintain inflation below the 5% level.

·         The exchange rate was maintained at a stable level, despite global shocks.

·         The highest primary surplus in history will be recorded next year.

·         The government expects to reduce state debt to 87% by the year 2030.

·         A positive situation concerning Sri Lanka exists, even in international credit ratings.

·         Public sector employee salaries are increased in 3 phases already.

·         The anti-corruption program secured public trust.

·         Digital reforms related to state financial affairs are implemented in many sectors.

·         Economic growth is being enhanced through minimizing corruption.

·         A code of ethics for the judicial system will be introduced in 2026.

·         $823 million in Foreign Direct Investment (FDI) received in 2025.

·         The confidence of local and foreign investors is strengthened further.

·         The Strategic Development Projects Act and the Port City Act are being amended.

·         SVAT is being canceled, and the tax refund system is being formalized.

·         The monitoring, regulation, and management of state assets is taking place.

·         A system for declaring digital assets is being introduced.

·         The State Asset Management Act will be amended in 2026.

·         Transparency is created by publishing the provision of tax concessions on the Ministry of Finance website.

·         Individuals who committed crimes involving fraud and corruption are being punished, irrespective of the position they hold.

·         The framework against money laundering will be strengthened in 2026.

·         An expert committee is appointed for achieving higher income through export diversification and for new free trade agreements.

·         The State Commercial Enterprises Act is being introduced to Parliament.

·         Work is underway to make exports more competitive and to connect with global value chains through the National Export Development Plan.

·         A national trade window is being introduced to launch a new tariff policy.

·         Export income exceeds $2 billion per month.

·         Import expenditure rose by $430 million in 2025.

·         Our debt percentage is already approaching the 95% target.

·         Creditors agreed to provide relief based on the progress of debt restructuring.

·         A larger portion of the debt is being repaid in 2025 compared to 2024 already.

·         Foreign debt servicing is up by $760 million this year compared to last year.

·         A program to ensure the benefits of development reach everyone is underway to eliminate rural poverty.

·         We are currently moving towards an economic growth of 7% in the medium term.

·         Capital expenditure needs to be increased while systematically reducing recurrent expenditure.

·         Unemployment reduced to 3.8% in the first quarter of 2025.

·         The stock market experienced historical growth in 2025.

·         Steps are being taken to increase state investment by 4%.

·         There is an assurance that the public's tax revenue is being managed with accountability.

·         State revenue increased by 900 billion rupees compared to last year.

·         Social safety net expenditure will be maintained at a minimum of 4%.

·         An economic system based on equity instead of privilege is being implemented.

·         The goal is to bring state revenue to the 20% level of Gross Domestic Product (GDP).

·         Work is underway to bring the direct and indirect tax ratio to 60% - 40%.

·         The budget deficit reduces to 5.2% this time.

·         The Investment Protection Act will be passed in the first half of 2026.

·         An additional 1,000 million rupees is allocated for services related to Investment Zones.

·         A residential visa scheme is being introduced for foreign investors.

·         100 million rupees is allocated for a central digital system including land information.

·         An extra 250 million rupees is allocated for the National Export Development Plan.

·         2,500 million rupees is allocated for investment facilitation, including the National Single Trade Window.

·         An additional 1,000 million rupees is allocated for Industrial Zone development.

·         The promise to grant loans to entrepreneurs without collateral is fulfilled, with 4,227 million rupees lent for this purpose.

·         1,700 million rupees is allocated for the development of agricultural value chains.

·         80,000 million rupees is allocated for various loans for the year 2026.

·         3,500 million rupees is allocated for nature-centric tourism development programs.

·         Under-utilized tourist bungalows will be used for revenue generation with the help of the private sector.

·         500 million rupees is allocated for establishing short-term vocational training courses to create skilled individuals in the tourism and hotel sector.

·         1,000 million rupees is allocated to promote internal air travel.

·         The Katunayake Airport expansion project will recommence next year.

·         25,000 million rupees is allocated for Digital Economy development.

·         The Digital Economy Council will be established under the Digital Economy Act.

·         The first digital identity card will be issued in March 2026.

·         30 billion rupees is allocated for digital state transformation.

·         21 billion rupees is allocated for research and development.

·         A decision is made not to charge service fees for state payments via online methods.

·         No extra charges will be levied for QR code payments less than 5,000 rupees.

·         750 million rupees is allocated for Artificial Intelligence (AI) service centers.

·         Steps are being taken to provide broadband vouchers to children of Aswesuma beneficiary families.

·         Steps are being taken to install 100 new telephone towers, with tax concessions for investors.

·         1,200 million rupees is allocated for new research commercialization.

·         6,500 million rupees is allocated for the Clean Sri Lanka Project.

·         2,000 million rupees is allocated for the operation to eradicate illicit drugs.

·         19,000 million rupees is allocated for allowances for the disabled community.

·         1,000 million rupees is allocated for sanitation facilities in public transport.

·         500 million rupees is allocated from the government's side to provide private sector jobs to the disabled community.

·         9,000 million rupees is allocated to provide an educational materials allowance of 6,000 rupees for every child under Aswesuma.

·         11,000 million rupees is allocated for the development of medical faculties.

·         The Mahapola Scholarship allowance is increased by 2,500 rupees, bringing the new allowance to 10,000 rupees.

·         A monthly allowance of 5,000 rupees is allocated for the higher education of children with disabilities.

·         The allowance for National Education Faculty trainees is increased by 2,500 rupees.

·         8,000 million rupees is allocated for the overall vocational training sector, including the improvement of vocational training centers.

·         Steps are being taken to modernize 50 vocational training centers.

·         Steps are being taken to establish Arogya centers for primary health care.

·         31,000 million rupees is allocated for the improvement of base hospitals.

·         12,000 million rupees is allocated to establish the National Cardiac Unit building.

·         4.25 billion rupees is allocated for the Suwa Seriya Ambulance Service.

·         570 million rupees is allocated for the Community Science and Health Survey.

·         10,000 million rupees is allocated for the re-establishment of Dambulla and Deniyaya Regional Hospitals.

·         25,000 million rupees is allocated for the Community Shakti Program.

·         The estate worker daily minimum wage is increased to 1,550 rupees, with an attendance allowance of 200 rupees, totaling 1,750 rupees.

·         5,000 million rupees is allocated for the wages of estate workers.

·         200 million rupees is allocated for auditorium facilities in the towns of Monaragala and Ampara.

·         300 million rupees is allocated for the completion of the Nindavur Urban Council building.

·         24,000 million rupees is allocated for rural road development.

·         2,500 million rupees is allocated for rural bridge development.

·         10 million rupees is allocated to formulate a policy to make the elderly community active partners in society.

·         An additional 200 million rupees is allocated for programs targeting women's welfare.