SL records Rs.39 b primary surplus in 11 months

By Mario Andree

Government revenue during the first eleven months of last year increased 11 per cent to
Rs 1.659 trillion, representing 87 per cent of the revised target set for this year, while expenditure increased 9 per cent to Rs 2.293 trillion, representing 88 per cent of the total expected for the year.

According to the Ministry of Finance, revenue from taxes reached Rs 1.527 trillion, while non-tax income reached Rs 129.7 billion and grants amounted to Rs 2.7 billion, during the first eleven months of last year.

The Government spent more than Rs 1.741 trillion for current expenditure, of which 39 per cent (Rs 672.5 billion) was for interest payments, while Rs 541.5 billion was spent on salaries and wages, Rs 166.7 billion on pension payments, Rs 32 billion for free medicine, Rs 22.4 billion for fertilizer subsidies, Rs 36.4 billion for ‘Samurdhi’, Rs 79 billion for transfers and Rs 191.2 billion for other expenses.

Capital and Net Lending by the Government to State enterprises reached Rs 551.2 billion as public investments amounted to Rs 561.4 billion, while a payback of Rs 10 billion was received.
The Overall deficit amounted to Rs 633.6 billion during the first eleven months, with the current account deficit at Rs 85 billion.
Sri Lanka’s primary balance was at a surplus of Rs 38.8 billion.

The Government hopes that this year revenue would reach Rs 2.228 trillion, with tax revenue expected to hit Rs 2.034 trillion by end of this year, while non-tax revenue is expected to reach more than Rs 184 billion. Total expenditure during 2018 is expected to reach Rs 2.9 trillion, with recurrent expenditure at Rs 2.152 trillion, as interest payments is estimated to cost Rs 820 billion, and salaries and wages expected to cost Rs 630 billion.