2025-12-19
News Categories : Committee News
The Committee on Public Finance (CoPF) considered and approved a supplementary estimate of Rs. 500 billion to restore the livelihoods of those affected by the sudden disaster. Accordingly, the supplementary estimate is scheduled for approval in Parliament today (Dec. 19).
The above approval was granted yesterday (18) at a meeting of the Committee on Public Finance held under the chairmanship of Dr. Harsha de Silva, Hon. Member of Parliament.
Officials present stated that although the Appropriation Bill for the year 2026 (Budget) was passed in Parliament on December 5, the recent disaster situation has necessitated the mobilization of additional funds beyond the amounts approved under the Budget. Accordingly, an estimated supplementary sum of Rs. 500 billion has been proposed to support and empower affected communities and to restore and strengthen essential infrastructure.
The proposed supplementary estimate comprises allocations of Rs. 100 billion for the renovation of houses destroyed by the disaster, Rs. 250 billion for the restoration and rehabilitation of damaged infrastructure, and Rs. 150 billion to support the rebuilding of livelihoods and the restoration of normal living conditions for affected communities.
The Committee observed that the supplementary estimate results in the primary expenditure for 2026 rising about 1.5% of GDP above the 13% of GDP ceiling imposed by the Public Finance Management (PFM) Act. Under the PFM Act such a breach of the ceiling is permitted under Section 16 in case of “unforeseen and unavoidable circumstances such as major economic downturn, severe external shocks, natural disaster, emergence of major contingent liabilities or any such other eventuality in the opinion of the Cabinet of Ministers.” Under Section 16 and Section 26, which covers supplementary estimates, the Ministry of Finance has submitted documents that provide the necessary explanations and justifications, including an updated medium term fiscal framework (MTFF).
When inquired into the implications of this expenditure on the Public Financial Management Act, officials explained that while there is a mandatory requirement not to exceed the primary expenditure ceiling of 13 percent of GDP, the Act provides for exemptions in situations involving a disaster or national crisis.
The Committee also inquired into the selection of beneficiaries of such funds. Officials stated that the National Building Research Institute (NBRO) has identified 15,000 houses, and that a plan has been in place since 2017, although progress has been slow. Officials further stated that the 2026 Budget has allocated Rs. 5,000 billion to construct approximately 3,000 houses that have already been identified. In addition, funds will be allocated for restoration and relocation purposes. The Committee emphasized that accurate data should be acquired and a proper plan should be in place to support those who have actually been affected by the disaster.
Moreover, the Committee urged the need for the Rebuilding Sri Lanka Fund to be formally established as a statutory fund with Parliamentary approval without further delay to ensure that the funds are utilized in an accountable and transparent manner.
Following an in-depth discussion, the Committee approved the supplementary sum of Rs. 500 billion to restore the livelihoods of those affected by the sudden disaster situation.
The meeting was attended by Hon. Deputy Ministers Dr. (Ms.) Kaushalya Ariyarathne and Nishantha Jayaweera, Hon. Members of Parliament and Committee Members Ravi Karunanayake, Harshana Rajakaruna, Wijesiri Basnayake, Thilina Samarakoon, Rauff Hakeem, Attorney-at-Law, as well as Chithral Fernando, Attorney-at-Law.
2026-01-28
An institutional review of the National Authority on Tobacco and Alcohol (NATA) and the Jaffna Teaching Hospital was conducted at the Sectoral Oversight Committee on Health, Mass Media and Women’s Empowerment.The committee met in Parliament on 21.01.2026, under the chairmanship of Hon. Member of Parliament (Dr.) Nihal Abeysinghe.Accordingly, the review of the National Authority on Tobacco and Alcohol was taken up first. Officials of the Authority informed the committee that approximately 22,000 people die annually due to tobacco and alcohol consumption, and that the country incurs an annual economic loss of Rs. 225–240 billion as a result.They further stated that steps are currently being taken to amend the National Authority on Tobacco and Alcohol Act by incorporating the necessary legal provisions to effectively address this situation.The officials emphasized that 104 countries worldwide have banned the sale of cigarettes individually, and highlighted the importance of implementing a similar law in Sri Lanka. They pointed out that when cigarettes are sold individually, the health warnings displayed on cigarette packaging are not visible to consumers.Additionally, the officials stressed the importance of imposing taxes on cigarettes after determining their prices.Commenting on the matter, the Chair of the Committee stated that the committee is prepared to provide the necessary support for the proposed amendments to the Act and for other programmes of the National Authority on Tobacco and Alcohol.Subsequently, an institutional review of the Jaffna Teaching Hospital was conducted. Hospital authorities briefed the committee on the current status of the hospital. They pointed out that there is a growing need for additional staff in order to further improve and expand medical treatments and services currently being provided.They also informed the committee of the need to upgrade the Jaffna Teaching Hospital to the status of a National Hospital. Responding to this, the Secretary to the Ministry of Health stated that Sri Lanka currently has three National Hospitals, and that steps are expected to be taken in the near future to elevate the Jaffna Teaching Hospital to National Hospital status after fulfilling the required criteria.The Chair of the Committee also highlighted the need to reassess staffing requirements at the hospital.Furthermore, hospital authorities requested the committee to facilitate the appointment of an internal auditor to the Jaffna Teaching Hospital in order to ensure transparency in hospital administration and overall operations.Hon. Deputy Chair of the Committees Hemali Weerasekara, committee members Hon. MPs Attorney-at-Law Dayasiri Jayasekara, Muneer Mulaffer, Samanmali Gunasinghe, (Prof.) Sena Nanayakkara, (Dr.) S. Sri Bhavanandarajah, (Dr.) Ramanathan Archchuna and with the permission of the Chair, Hon. MPs (Dr.) Janaka Senarathna and (Dr.) Pathmanathan Sathiyalingam were present at the committee meeting.Also in attendance were the Secretary to the Ministry of Health and Mass Media, officials of the Ministry, the Director of the Jaffna Teaching Hospital along with administrative officers, and the Chairman and officials of the National Authority on Tobacco and Alcohol.
2026-01-27
Decision taken to conclude investigations within three monthsSelect Committee of Parliament to look into and Report to Parliament on the release of 323 Containers from the Port of Colombo without undergoing mandatory physical inspection and submit its proposals and recommendations in that regard, has decided to meet every Wednesday at 2.00 p.m. to conduct its investigations.This decision was taken at the inaugural meeting of the Committee, held on 21.01.2026, under the Chairmanship of Hon. Minister of Justice and National Integration, Attorney-at-Law, Harshana Nanayakkara. Accordingly, the Committee is scheduled to meet again on Wednesday, 28.01.2026, at 2.00 p.m.During the meeting, a preliminary discussion was held on the manner in which the future proceedings of the Committee should be conducted and on the parties to be summoned before it. Committee Members expressed their views in this regard. The Chairman stated that the Committee expects to conclude its investigations within a period of three months.The meeting was attended by Hon. Minister of Ports and Civil Aviation Anura Karunathilaka, Hon. Deputy Minister of Industries and Entrepreneurship Development Chathuranga Abeysinghe, Hon. Deputy Minister of Public Security and Parliamentary Affairs, Attorney-at-Law Sunil Watagala, Hon. Deputy Minister of Power Arkam Ilyas and Hon. Members of Parliament Attorney-at-Law Dayasiri Jayasekara, Ajith P. Perera, D. V. Chanaka, Mujibur Rahuman, Mayilvaganam Jegatheeswaran and Attorney-at-Law Lakmali Hemachandra.
2026-01-27
Committee requests quality reports on coal consignments in three imported vesselsMatters relating to coal imported to Sri Lanka for electricity generation were examined at the Sectoral Oversight Committee on Infrastructure and Strategic Development.This review took place when the Committee met in Parliament recently under the Chairmanship of Hon. S. M. Marikkar, Member of Parliament.Officials from the Ministry of Power and Energy and the Lanka Coal Company (Private) Limited were summoned to attend the Committee meeting.During the meeting, the Committee sought clarifications from officials regarding the procedures followed in the coal importation process. Particular attention was paid to the procedures adopted during the most recent coal imports, and officials were questioned in detail on this matter.The Chairman of the Committee inquired whether any issues had arisen concerning the quality of the coal most recently imported into the country. In response, officials informed the Committee that samples from three coal vessels that arrived in Sri Lanka had been sent to India for quality testing, and that accurate information could be provided once the relevant reports were received.Accordingly, the matter was discussed at length during the Committee proceedings. The Chairman stated that the former Chairman of Lanka Coal (Private) Limited, who was involved in the processes related to the importation of these coal consignments, would be summoned before the Committee at its next meeting.In addition, the Chairman instructed officials to submit to the Committee, on the same day of the next meeting, the quality reports of the coal in the three vessels that arrived in Sri Lanka, as well as the laboratory reports conducted in Sri Lanka on the quality of coal contained in the most recently arrived vessel.Members of the Committee, Hon. Members of Parliament Ajith P. Perera, and Hon. Chathura Galappaththi were present at the meeting.
2026-01-26
The Committee on Public Finance express its appreciation regarding the expediting of VAT refund payments within a period of 45 daysThe delay in issuing licenses for the appointment of Authorized Persons (AP) of the Colombo Port City was discussed at the Committee on Public Finance.These matters were discussed at the meeting of the Committee on Public Finance, held on 20.01.2026 in Parliament, presided over by its Chair, Hon. Dr. Harsha de Silva, and attended by the Hon. Deputy Minister Chathuranga Abeysinghe, and Hon. Members of Parliament Ravi Karunanayake, Ajith Agalakada, M.K.M. Aslam, Nimal Palihena, Chithral Fernando, Attorney at Law, Wijesiri Basnayake, Sunil Rajapaksha, Thilina Samarakoon, and Champika Hettiarachchi.According to the Colombo Port City Economic Commission Act, when a company intends to engage in a business, the applicant must obtain a license to qualify and be permitted to operate as an Authorized Person within the designated area of the Colombo Port City.The Committee pointed out that 72 applications are currently pending for obtaining this registration.Officials representing the Colombo Port City Economic Commission noted that, due to the Letter of Intent signed for the Fourth Review of the IMF Programme, they were informed that this process would be suspended from 04.07.2025 onward. Therefore, these applications had not been considered.The Committee further pointed out that, as of July 2025, 54 applications had already been received, yet none had been reviewed.Responding to this, the officials further stated that amendments to the Act were expected, and there was uncertainty as to whether the procedure for carrying out this process would change. Therefore, no further action had been taken. They added that, since the Amended Act came into force on 20.01.2026, the related activities would be carried out expeditiously.At this point, the Chairman of the Committee emphasized that attracting new investments to the country is the shared objective of all, and therefore it is important that these matters be proceeded with promptly.Further, attention was drawn to the current progress of the Simplified Value Added Tax (SVAT) System.Previously, when officials appeared before the Committee in October 2025, they stated that under the VAT system, refund payments were subjected to a 100% audit, leading to delays. However, through the SVAT System, steps have been taken to minimize these delays and ensure that refunds are processed expeditiously within 45 days.Officials present noted that, as of 15 January 2026, approximately 96% of refunds had been completed, and that most of the older payments had also been settled.Based on the information presented before the Committee, it was observed that the SVAT System has achieved clear progress, and the Committee expressed its appreciation to the officials of the Department of Inland Revenue for these improvements.
Handbook of Parliament
The System of Elections in Sri Lanka
How Parliament Works
Business of Parliament
Copyright © The Parliament of Sri Lanka.
All Rights Reserved.
Design & Developed by TekGeeks
