Budget 2027
Sri Lanka Budget 2027 — Live Updates: Budget Speech, Tax Proposals & Key Announcements
President Anura Kumara Dissanayake | Parliament | November 12, 2026
The President has announced plans to establish a Microfinance Regulatory Authority in 2027.
This step aims to strengthen oversight of the microfinance sector and protect borrowers.
The President has announced plans to amend financial reporting legislation to strengthen auditing standards, quality control, and financial market oversight.
This step aims to improve the quality and reliability of financial reporting, which supports investor confidence and transparency in the market.
The President has announced amendments to Act and law to improve investigations, enforcement, and action against unauthorized finance businesses.
This step aims to protect the public from illegal lenders and strengthen trust in the financial sector.
The President has proposed a subsidy of Rs. 25,000 per kilowatt of battery storage capacity for domestic consumers installing new rooftop solar systems.
This proposal aims to make home solar systems with battery storage more affordable for households.
The President has announced plans to promote QR code-based payments across government institutions, encouraging citizens to adopt digital payment methods for public sector transactions.
This step aims to make payments for government services quicker, simpler and more transparent.
The Government plans to amend the Personal Data Protection Act and introduce legislation to establish a Digital Economy Authority and a Digital Economy Council in the first quarter of 2027.
These steps aim to strengthen data protection and support the growth of the digital economy.
The Government proposes a total allocation of Rs. 83.68 billion for the Ratnapura Expressway project.
The Government has allocated approximately Rs. 77.64 billion for interest subsidies and bank refinancing in 2028 to support SMEs and entrepreneurs.
The Government proposes a concessional loan scheme at an annual interest rate of 3% to support the establishment of new homestays and the improvement of existing accommodation facilities, promoting rural tourism and entrepreneurship.
The Government plans to transform the education system by improving teaching quality, introducing modern technology, and developing infrastructure and human resources.
The Government proposes a group loan scheme for women in rural communities, offering loans of up to Rs. 1 million at a concessional annual interest rate of 3% through Samurdhi Banks.
Sri Lanka Expo 2028 is scheduled for January 2028, with Rs. 85 million allocated for export promotion, diversification and competitiveness.
The Government proposes a new programme, “Samata Kotassak” (A Share for Everyone), to encourage greater public participation in the Colombo Stock Exchange.
The Government proposes housing loans of up to Rs. 5 million for migrant workers, with a 10% interest subsidy on the first Rs. 3 million and a 5% subsidy on the remaining Rs. 2 million.
The Government proposes a “Global Sri Lankan Heritage Citizen” programme to strengthen ties with overseas Sri Lankans, offering free dual citizenship to the spouses and children of dual citizenship applicants, including third-generation descendants.
The Metro Bus service introduced around Colombo this year is expected to be extended to the urban areas of Kandy, Galle and Jaffna.
The Government proposes to exempt printed books, textbooks, dictionaries, educational publications, children’s colouring books and exercise books from VAT.
The Government proposes tax law amendments to remove ambiguities, simplify compliance and prevent taxpayers from losing legitimate refunds or input tax credits due to technical errors, while safeguarding government revenue.
The Government proposes using the Central Bank’s Indicative Exchange Rate for foreign currency conversions for VAT purposes, with implementation guidelines to be issued by the Commissioner General of Inland Revenue.
Import duty changes proposed: 25% reduction in CESS on 800 selected HS code lines | 10% PAL removed on specified newsprint imports, effective from 1 January 2027.
The Government proposes to simplify and amend the existing Excise Ordinance as an interim measure until a new Excise Act is introduced.
The Government proposes to abolish the Tourism Development Levy (TDL) on tourism establishments’ turnover, with Treasury funding provided until a new tourism financing mechanism is introduced.
📊 Sri Lanka Budget 2027 – Personal Income Tax Update
The proposed changes to the personal income tax structure include revisions to the monthly tax-free threshold and tax slabs.
- Tax-free threshold proposed to increase from Rs. 150,000 to Rs. 162,500 per month
- 12% rate proposed for the next Rs. 50,000 slab
- 18%, 24% and 30% rates proposed across the following Rs. 50,000 slabs
- 36% rate remains applicable to the balance above the proposed slabs
📌 Important: These are Budget proposals and will become law only after Parliament passes the necessary amendments. Unless a different date is given, the changes will apply from 1 April 2027.
Sri Lanka Budget 2027 – Personal Income Tax Update
The proposed 2027 Budget introduces significant changes to personal income tax:
- Tax-free amount proposed to increase to Rs. 1.95 million per year
- 12% tax rate proposed after the first 6% slab
- 36% top rate proposed to apply from around Rs. 433,000 monthly income
- Wider tax slabs proposed under the new structure
📌 Important: These are Budget proposals and will become law only after the necessary amendments are passed by Parliament. Unless a different date is specified, the proposed changes will apply from 1 April 2027.
- 01:38 PM — Sri Lanka Budget 2027 presentation about to begin.
- 01:41 PM — President Dissanayake arrives at Parliament to deliver the Budget 2027 speech as Finance Minister.
- 01:43 PM — Budget 2027 priorities: eradicating poverty, eliminating corruption, faster economic growth, and better living standards for all Sri Lankans.
- 01:43 PM — Education and innovation identified as key to building a globally competitive Sri Lankan workforce.
- 01:45 PM — President calls for a genuine shift to people-centred governance in Sri Lanka.
- 01:45 PM — Government must be efficient, transparent, and accountable — delivering value for every taxpayer rupee.
- 01:46 PM — Sri Lanka’s production economy to be strengthened through industrial growth, new investment, digital transformation, and technology adoption.
- 01:47 PM — Budget 2027 priorities include environmental protection, social justice, and sustainable growth amid global uncertainty.
- 01:48 PM — Rs. 147 billion allocated to cushion fuel price impacts for the public, industries, and fisheries sector.
- 01:48 PM — Severe weather losses and El Niño risks highlighted — fiscal resilience is critical.
- 01:48 PM — Economic stability identified as the top defence against future crises in Sri Lanka.
- 01:49 PM — Government committed to an economy where every Sri Lankan lives with dignity, prosperity, and confidence.
- 01:49 PM — Economic stability and environmentally responsible development must go hand in hand.
- 01:49 PM — Investment promotion, social welfare, and inclusive growth are core pillars of Budget 2027.
- 01:52 PM — Progress noted in boosting domestic production and hitting key economic targets.
- 01:58 PM — Sri Lanka’s credit rating upgraded from CC to B- — a clear sign of improving financial stability.
- 01:59 PM — Sri Lanka ranked 67th on the Global Peace Index 2026; recognised as a top destination for solo travellers.
- 01:59 PM — Sri Lanka named a leading global destination for family tourism.
- 02:00 PM — IMF ranks Sri Lanka 4th among 57 emerging economies for investor relations and 5th for public debt transparency.
- 02:00 PM — Sri Lanka’s international reputation and global standing continue to strengthen.
- 02:00 PM — Protecting national sovereignty and maintaining an independent foreign policy remain priorities amid global conflicts.
- 02:01 PM — Government success must be measured by its care for vulnerable children, the elderly, disabled citizens, and struggling families.
- 02:01 PM — Economic stability, social justice, and inclusive development reaffirmed as Budget 2027 cornerstones.
- 02:02 PM — Sri Lanka to be reshaped into a production-driven economy through structural reforms and public participation.
- 02:02 PM — Benefits of economic growth to be shared equitably across all citizens.
- 02:02 PM — Social safety nets to be strengthened; every public investment must deliver real returns.
- 02:03 PM — Every rupee of Government spending must produce measurable economic and social results.
- 02:03 PM — Government committed to economic transformation, job creation, fair wages, quality services, and a safe society.
- 02:04 PM — Securing economic stability and a sustainable future for the next generation is the stated goal.
- 02:04 PM — Building a resilient economy that can absorb domestic and global shocks is a key Budget 2027 objective.
- 02:04 PM — Adverse weather and Middle East conflicts have impacted livelihoods, production, energy costs, imports, and supply chains.
- 02:05 PM — Adequate Treasury reserves essential for responding to emergencies and natural disasters.
- 02:05 PM — Rs. 500 billion supplementary allocation for disaster relief, essential services, and reconstruction.
- 02:06 PM — Building Sri Lanka’s foreign reserves is a key priority for economic stability.
- 02:06 PM — Current account surplus of USD 1.853 billion in the first nine months of 2026, versus a USD 820 million deficit in the same period last year.
- 02:07 PM — Concerns flagged over slowing global growth, rising energy and food prices, geopolitical tensions, and trade uncertainties.
- 02:07 PM — Sound public finances, strong revenue, disciplined fiscal management, and effective leadership are essential for stability.
- 02:08 PM — Fiscal sustainability requires healthy government revenue relative to GDP and capacity to service public debt.
- 02:08 PM — Sri Lanka targeting public debt reduction to 95% of GDP under the IMF reform programme.
- 02:09 PM — Meeting IMF fiscal benchmarks through disciplined budget planning and prudent debt management is key to long-term stability.
- 02:11 PM — Digital transformation, public sector modernisation, and new technology adoption are Budget 2027 priorities.
- 02:11 PM — Improving education and human capital development remain top Government priorities.
- 02:12 PM — Boosting Sri Lanka’s export competitiveness and growing foreign exchange earnings are key targets.
- 02:12 PM — Government aims to raise agricultural productivity, expand food exports, and strengthen rural incomes.
- 02:12 PM — Agriculture to be modernised through digital technology with focus on rural production and value addition.
- 02:13 PM — New economic opportunities and improved livelihoods to be created through rural economic transformation.
- 02:14 PM — Expanding renewable energy, improving efficiency, and strengthening energy storage are national priorities.
- 02:14 PM — Diversifying energy sources and supply channels remains a key Government strategy.
- 02:16 PM — State institutions and regulatory frameworks to be modernised. Stronger anti-corruption measures, greater transparency, and improved public trust and service delivery under Budget 2027.
- 02:20 PM — Budget 2027 aims to gradually reduce recurrent spending while increasing capital investment across Sri Lanka.
- 02:20 PM — Capital expenditure targeted at 4.48% of GDP, with further allocations expected through supplementary estimates.
- 02:21 PM — Fiscal discipline and strengthening domestic economic stability remain core Government commitments.
- 02:21 PM — Government expects to complete the relevant IMF programme review by March 2027.
- 02:21 PM — Building stronger financial reserves to face unpredictable global challenges is a key Budget 2027 priority.
- 02:22 PM — A committee has been appointed to assess whether Sri Lanka will need a new IMF programme after the current one concludes.
- 02:22 PM — Targeted social protection programmes for low-income and vulnerable families hit by economic hardship and natural disasters to be strengthened.
- 02:22 PM — Government committed to ensuring social fairness while accelerating Sri Lanka’s economic recovery and growth.
- 02:23 PM — Sri Lanka’s legal framework to be reformed and strengthened to support economic transformation and long-term development goals.
- 02:25 PM — Financial reforms, policy improvements, and deeper international cooperation identified as essential for driving Sri Lanka’s economic transformation.
- 02:27 PM — Plans announced to strengthen parliamentary oversight and transparency in public-private partnerships (PPPs).
- 02:27 PM — A new holding company to be established for improved management of state-owned enterprises (SOEs).
- 02:28 PM — Legal safeguards and investor protection measures to be strengthened to attract new investments into Sri Lanka.
- 02:28 PM — Foreign investment to be actively pursued, including opportunities linked to Colombo Port City, with enhanced investor protection and support services.
- 02:29 PM — A Microfinance Regulatory Authority to be established in 2027 to oversee Sri Lanka’s microfinance sector.
- 02:29 PM — New insurance legislation to be tabled in Parliament shortly to strengthen the insurance sector and bolster economic resilience.
- 02:30 PM — A National Statistics Act to be drafted to improve the accuracy and reliability of Sri Lanka’s national data.
- 02:30 PM — Efficiency of the Department of Census and Statistics to be strengthened under Budget 2027.
- 02:32 PM — Amendments to the Finance Business Act planned to strengthen financial regulation and supervision in Sri Lanka.
- 02:32 PM — The amendments will improve investigative powers, enforcement capacity, and action against unauthorised finance businesses.
- 02:32 PM — Financial reporting legislation to be amended to raise auditing standards, quality control, and financial market oversight.
- 02:33 PM — A new Public Property Management Act to be introduced to improve how Sri Lanka’s state assets are managed and safeguarded.
- 02:36 PM — A new institution to be established alongside the Board of Investment (BOI) to attract foreign investment into Sri Lanka.
- 02:36 PM — The new body will bring in qualified professionals to strengthen Sri Lanka’s investment promotion efforts.
- 02:37 PM — A Gambling Regulatory Authority Bill to be introduced in Parliament to regulate emerging forms of gambling, including online gambling in Sri Lanka.
- 02:38 PM — A National Single Window system to be introduced to simplify import and export procedures and facilitate international trade.
- 02:39 PM — Rs. 100 million allocated to establish the National Single Window system, streamlining Sri Lanka’s trade processes.
- 02:40 PM — Existing Free Trade Agreements (FTAs) to be reviewed and new agreements pursued to remove practical trade barriers and expand Sri Lanka’s international trade opportunities.
- 02:41 PM — Plans announced to strengthen Sri Lanka-European Union trade relations and promote sustainable economic integration.
- 02:41 PM — Energy sector transformation prioritised to ensure stable, uninterrupted power supply, lower production costs, and improve national energy security.
- 02:42 PM — Renewable energy capacity to be increased from approximately 62% to 69% under Budget 2027.
- 02:42 PM — Renewable sources accounted for an average of 71% of electricity generation in November, reaching 80% on certain days.
- 02:44 PM — Rs. 26.5 billion proposed investment to strengthen the national electricity grid and prevent future power outages.
- 02:44 PM — Investment to focus on grid stability, frequency control, and power system protection across Sri Lanka.
- 02:44 PM — New energy storage and grid-support systems planned to strengthen electricity grid stability.
- 02:44 PM — With World Bank support, the Government aims to improve grid resilience and manage fluctuations from renewable energy generation.
- 02:45 PM — Battery energy storage capacity to be expanded from 160 MW to 560 MW in 2027.
- 02:45 PM — Total battery storage capacity targeted at approximately 1,245 MW under the Government’s energy plan.
- 02:47 PM — Competitive tendering can lower renewable energy costs and ensure fair electricity pricing for Sri Lankan consumers.
- 02:48 PM — Transparent procurement highlighted as essential for securing cost-effective energy projects.
- 02:48 PM — Rs. 25,000 subsidy per kilowatt of battery storage capacity proposed for domestic consumers installing new rooftop solar systems.
- 02:49 PM — Rs. 3.5 billion allocated to support solar battery storage across Sri Lanka.
- 02:49 PM — The 10% Ports and Airports Development Levy (PAL) on imported solar storage batteries to be removed, alongside the Rs. 25,000 subsidy.
- 02:51 PM — Installing a Battery Energy Storage System (BESS) will strengthen grid stability and help prevent electricity outages across Sri Lanka.
- 02:52 PM — Private investment to be attracted for constructing new electricity transmission lines, while public control over transmission is retained. Financial support from the Asian Infrastructure Investment Bank (AIIB) also expected.
- 02:52 PM — Free electricity meters to be provided to 300,000 consumers using more than 80 units, in designated electricity service areas across Sri Lanka.
- 02:54 PM — Consumers to be encouraged to use cheaper daytime solar electricity, particularly for charging electric vehicles, helping reduce peak-hour demand on Sri Lanka’s grid.
- 02:56 PM — Government committed to ensuring a reliable, uninterrupted electricity supply at affordable prices for all Sri Lankans.
- 02:56 PM — Bids invited for natural gas exploration and production in four blocks off the Mannar coast, with further developments expected in February.
- 02:57 PM — Plans to advance natural gas exploration in the Mannar Basin, with bids being invited for exploration and potential production.
- 03:01 PM — A pipeline system to be established to transport aviation fuel directly to Bandaranaike International Airport, improving fuel supply efficiency for Sri Lanka’s aviation sector.
- 03:05 PM — Energy sector development and digital transformation identified as essential drivers of Sri Lanka’s economic growth.
- 03:05 PM — Government to accelerate digitalisation to improve public sector efficiency, modernise governance, strengthen institutional capacity, and make public services more accessible to all citizens.
- 03:07 PM — Government digital procurement to be centralised, reducing dependence on private software vendors.
- 03:07 PM — Amendments to the Personal Data Protection Act planned, along with new legislation to establish a Digital Economy Authority and Digital Economy Council in the first quarter of 2027.
- 03:08 PM — New procurement guidelines to be introduced specifically for government digital solutions, replacing the limitations of traditional goods and contract-based procurement.
- 03:08 PM — The proposed guidelines are being discussed with the National Procurement Commission and are expected to be submitted for approval in early 2027.
- 03:09 PM — An Artificial Intelligence (AI) Centre of Excellence to be established at Wijerama Mawatha, promoting AI adoption across Sri Lanka’s public sector and industry.
- 03:09 PM — Standardised, shared digital solutions for public institutions will also be prioritised under Budget 2027.
- 03:11 PM — QR code-based payments to be promoted across government institutions, encouraging citizens to adopt digital payment methods for public sector transactions.
- 03:13 PM — Rs. 28.5 billion allocated for digital transformation, including an additional Rs. 10 billion — described as the largest investment in digital sector development in Sri Lanka’s history.
- 03:13 PM — The President described this as a landmark allocation for Sri Lanka’s digital future.
- 03:14 PM — Plans to expand high-speed broadband coverage across Sri Lanka, with approximately 700-800 communication towers needed, including 573 towers under the proposed programme.
- 03:14 PM — Approximately Rs. 35 billion earmarked to support telecommunications infrastructure development.
- 03:16 PM — The Telecommunications Regulatory Commission to introduce an automated monitoring system to improve mobile network coverage across Sri Lanka.
- 03:16 PM — The initiative aims to identify areas with poor or no signal coverage and improve communication services for the public.
- 03:17 PM — A National Digital Identity system to be introduced, with digital services expanded across Sri Lanka’s entire public sector.
- 03:18 PM — Citizens will be able to access Grama Niladhari, Divisional Secretariat, and other government services from home, reducing the need for physical visits.
- 03:18 PM — Education reforms already underway for Grade 1 will be extended to Grades 2 and 6 next year.
- 03:18 PM — Government plans to transform Sri Lanka’s education system through improved teaching quality, modern technology, and stronger infrastructure and human resources.
- 03:22 PM — Monthly allowance for trainee teachers at Colleges of Education to be increased from Rs. 10,500 to Rs. 20,000, effective April 2027, to ease their financial burden.
- 03:22 PM — Annual allowance for Dhamma School teachers to be raised from Rs. 7,500 to Rs. 12,500, while distribution of school uniforms donated by China continues.
- 03:23 PM — Rs. 35 billion allocated for teacher development, school buildings, laboratories, teacher accommodation, and other educational facilities.
- 03:23 PM — Rs. 7 billion total allocation for school digitalisation in 2027, including an additional Rs. 3 billion proposed.
- 03:23 PM — Rs. 8 billion planned for clinical buildings at the Universities of Peradeniya and Wayamba, with Rs. 450 million proposed for 2027.
- 03:24 PM — Rs. 6.35 billion allocated for university student welfare, including Rs. 717 million for hostel improvements, drinking water, sanitation, and wastewater treatment.
- 03:24 PM — University of Vavuniya: a Rs. 2.05 billion residential accommodation project for academic and non-academic staff proposed to commence in 2027.
- 03:25 PM — Monthly living allowance for students under the interest-free higher education loan scheme to be increased from Rs. 6,350 to Rs. 10,000, effective April 2027.
- 03:30 PM — Rs. 1 billion capital investment proposed to modernise higher education infrastructure, integrate new technologies, and strengthen public-private partnerships.
- 03:31 PM — A National Research and Development Council to be established to coordinate research, promote innovation, and commercialise research findings.
- 03:31 PM — Rs. 7.6 billion allocated to the Ministry of Science and Technology for research, development, and coordination activities.
- 03:32 PM — Major investments planned in highways, roads, and railways to strengthen connectivity and support economic development across Sri Lanka.
- 03:32 PM — Total investment of approximately Rs. 480 billion indicated for transport infrastructure, including road and railway improvements.
- 03:32 PM — Rs. 30 billion proposed for construction of the Kurunegala-Galewela expressway section.
- 03:35 PM — Rs. 83.68 billion total allocation proposed for the Ratnapura Expressway project.
- 03:35 PM — Rs. 53.45 billion allocated for the Kadawatha-Mirigama section of the Central Expressway, delayed by the economic crisis and contractual issues, with completion targeted for September 2028.
- 03:36 PM — Rs. 4.5 billion allocated for the Pothuhera-Rambukkana section of the Central Expressway, targeting completion by May 2028.
- 03:36 PM — A further Rs. 23.05 billion allocated for the Rambukkana-Galagedara section, with completion targeted for July 2029.
- 03:37 PM — Rs. 8.5 billion to develop connecting roads around major expressways: Rs. 500 million for Kurunegala-Dambulla, Rs. 5 billion for Pothuhera-Galagedara, and Rs. 3 billion for Kadawatha-Mirigama.
- 03:38 PM — Rs. 1.9 billion allocated for new flyovers and railway crossing improvements across Sri Lanka.
- 03:39 PM — Bridge development allocations: Rs. 600 million for Kokkilai Bridge, Rs. 400 million for Thiran Bridge, Rs. 200 million for Pondukachchenai Bridge, Rs. 370 million for Verugal River bridge, and Rs. 500 million for Vattuvakal Bridge.
- 03:39 PM — Total estimated cost of bridge development projects: Rs. 10.6 billion.
- 03:40 PM — Approximately Rs. 77.64 billion allocated for interest subsidies and bank refinancing in 2028 to support SMEs and entrepreneurs.
- 03:40 PM — This is expected to facilitate approximately Rs. 174 billion in concessional loans through public and private banks.
- 03:41 PM — An additional Rs. 20 billion in concessional loans for SMEs at 5% interest, with Rs. 200 million for the initial interest subsidy.
- 03:42 PM — The concessional loan scheme to be extended to fisheries-related businesses, with a further Rs. 30 billion in ADB-supported funding for SME capital and working capital needs.
- 03:42 PM — An interest-free loan scheme for small and medium-scale rice mill owners to be introduced from 2028, providing Rs. 20 billion in financing for paddy purchases.
- 03:43 PM — A group loan scheme for women in rural communities proposed, offering loans up to Rs. 1 million at 3% annual interest through Samurdhi Banks.
- 03:43 PM — An initial Rs. 200 million allocated for interest subsidies to support women’s economic empowerment in Sri Lanka.
- 03:44 PM — Concessional loans of up to Rs. 5 million at 4% annual interest through Samurdhi Banks proposed to support rural businesses.
- 03:44 PM — Eligible rural businesses must create at least five jobs for Aswesuma beneficiaries, with Rs. 200 million in interest subsidies to facilitate Rs. 5 billion in loans.
- 03:45 PM — Concessional loans up to Rs. 500 million at 5% annual interest proposed for large-scale fisheries businesses to modernise operations, adopt new technology, and strengthen exports.
- 03:45 PM — Rs. 10 million proposed for interest subsidies, with the scheme expected to facilitate Rs. 15 billion in fisheries loans.
- 03:48 PM — Concessional loans at 3% annual interest proposed to support new homestays and improve existing accommodation, promoting rural tourism and entrepreneurship across Sri Lanka.
- 03:50 PM — Rs. 3.57 billion port improvement project with Japanese assistance, with an initial allocation of Rs. 575 million.
- 03:50 PM — A private-sector-supported fuel bunkering facility with 50,000 metric tonne capacity proposed at Colombo Port, alongside fuel storage and pipeline development at Galle Port.
- 03:51 PM — Trincomalee Port to be developed into a major regional fuel storage and energy hub through international partnerships.
- 03:51 PM — Ceylon Petroleum Corporation expects to invest Rs. 7.375 billion in pipeline infrastructure, with 60 oil storage tanks proposed through public-private partnerships to strengthen Sri Lanka’s maritime competitiveness.
- 03:52 PM — Rs. 15 billion to expand Terminal 1 at Bandaranaike International Airport, increasing annual passenger capacity from 6 million to 9 million.
- 03:52 PM — The expansion aims to ease congestion and improve passenger services as Sri Lanka’s airport traffic continues to grow.
- 03:53 PM — Construction of the long-delayed Terminal 2 at Bandaranaike International Airport to commence with financial assistance from the Japan International Cooperation Agency (JICA).
- 03:53 PM — The project is expected to proceed once outstanding issues are resolved, with Government targeting December 2026 for resolution.
- 03:54 PM — Rs. 800 million to be invested in a new domestic passenger terminal at Bandaranaike International Airport to improve domestic air connectivity.
- 03:54 PM — An additional Rs. 400 million for a new airport car park to reduce traffic congestion.
- 03:55 PM — A five-storey car park and aircraft maintenance and cargo-handling facilities to be developed at Bandaranaike International Airport with private-sector participation.
- 03:56 PM — Rs. 6 billion proposed to upgrade Ratmalana International Airport, including extending the runway from 1,400 to 1,671 metres to support aviation training and regional air services.
- 03:59 PM — Mattala International Airport has reportedly accumulated losses exceeding Rs. 70 billion.
- 03:59 PM — International investors to be attracted for airport operations, catering, data centres, and aircraft maintenance services at Mattala, with investors expected to be selected in 2027.
- 04:00 PM — Domestic aviation to be strengthened by developing passenger terminals and upgrading regional airports including Palaly, Ratmalana, and Hingurakgoda.
- 04:00 PM — Feasibility studies and preliminary planning underway for the Puliyankulam Industrial Zone, alongside efforts to resolve outstanding issues affecting the Ingiriya Industrial Zone.
- 04:01 PM — Rs. 4 billion allocated to upgrade infrastructure in existing industrial zones across Sri Lanka.
- 04:01 PM — Sri Lanka Expo 2028 scheduled for January 2028, with Rs. 85 million allocated for export promotion, diversification, and competitiveness.
- 04:01 PM — Funding provided for a feasibility study on a Knowledge and Technology Centre to strengthen research, innovation, and industrial commercialisation.
- 04:02 PM — Plans to revive a currently inactive manufacturing company in the Northern Province to create employment opportunities.
- 04:02 PM — National Gem and Jewellery Authority Act to be amended to facilitate industry licensing, with a feasibility study underway for an International Gem and Jewellery Trade Centre in Colombo offering integrated trading, export, and licensing services.
- 04:03 PM — New programme “Samata Kotassak” (A Share for Everyone) proposed to encourage greater public participation in the Colombo Stock Exchange.
- 04:04 PM — Selected Grade 13 students aged 18 and above to receive a share portfolio worth up to Rs. 10,000, giving young Sri Lankans practical stock market experience.
- 04:04 PM — A mechanism to encourage liquor and alcohol-related businesses to list on the Colombo Stock Exchange also proposed.
- 04:04 PM — An additional Rs. 500 million proposed, bringing total allocation for these capital market initiatives to Rs. 750 million.
- 04:05 PM — Sri Lanka’s mineral-based industries to be developed under the National Mineral Resources Policy, attracting investment and promoting value-added production.
- 04:05 PM — Mineral exploration to be conducted across 102 acres at the Kahatagaha graphite mine, with investment opportunities pursued for mineral sands processing through Lanka Mineral Sands Limited.
- 04:07 PM — Silica sand exploration underway across 40 acres in the Eastern Province, with suitable investors expected to be identified in 2028.
- 04:11 PM — Private sector investment to be encouraged to boost large-scale agricultural production and quality, improve agricultural value chain efficiency, and expand markets.
- 04:11 PM — Alternative crop cultivation to be allowed on identified uncultivated or low-productivity paddy lands, with Rs. 1.55 billion allocated to support the initiative.
- 04:14 PM — Rs. 44 billion allocated for a fertilizer subsidy of Rs. 30,000 per hectare, extended to cover other crops grown in paddy fields from the 2026/27 Maha season.
- 04:15 PM — Rs. 1.8 billion allocated to develop specialised livestock breeding farms: dairy cattle and buffaloes at Nikaweratiya, pigs at Horakele, and sheep at Siringapatha, using imported high-quality breeding stock.
- 04:18 PM — An estimated Rs. 21 billion required to restore Cyclone Ditwah-damaged irrigation tanks, infrastructure, and agricultural roads, with remaining funding to be provided in 2027.
- 04:32 PM — Rs. 13 billion allocated for plantation sector development in 2027, targeting an increase in export earnings from USD 3 billion to USD 5 billion by 2030.
- 04:32 PM — A National High-Performance Sports Centre to be established, beginning at Torrington Stadium, with Rs. 300 million allocated for its second phase at the Diyagama Sports Complex.
- 04:33 PM — Cash rewards proposed for international gold medalists: Rs. 100 million for Olympic and World Athletics gold, Rs. 75 million for Commonwealth gold, Rs. 50 million for Asian gold, and Rs. 15 million for SAARC gold, with additional rewards for silver and bronze medalists.
- 04:34 PM — Rs. 230 billion allocated for social protection programmes in 2027, including Aswesuma benefits for poor and extremely poor households.
- 04:34 PM — Monthly allowances for kidney patients and persons with disabilities to be increased by Rs. 2,500, from Rs. 10,000 to Rs. 12,500 each.
- 04:35 PM — Rs. 182 million allocated to support the protection, health, education, and mental well-being of vulnerable children through family-centred programmes.
- 04:36 PM — Rs. 150 million allocated for assistive devices, medical aids, and essential facilities for persons with disabilities, with plans to expand through the President’s Fund and other institutions.
- 04:36 PM — Rs. 500 million proposed to provide facilities for high-capacity children’s homes.
- 04:37 PM — A “Global Sri Lankan Heritage Citizen” programme proposed to strengthen ties with overseas Sri Lankans, offering free dual citizenship to spouses and children of dual citizenship applicants, including third-generation descendants.
- 04:37 PM — Housing loans of up to Rs. 5 million proposed for migrant workers, with a 10% interest subsidy on the first Rs. 3 million and 5% subsidy on the remaining Rs. 2 million.
- 04:38 PM — Rs. 1,000 million allocated in 2027 as Government contribution for the migrant worker housing loan interest subsidy scheme.
- 04:39 PM — A modern Doppler Radar System funded through a JICA grant to be installed commencing 2027, improving weather forecasting accuracy across Sri Lanka.
- 04:40 PM — Rs. 500 million allocated for disaster response equipment to strengthen early warning systems.
- 04:41 PM — A Dam Safety Act to be introduced to provide legal safeguards necessary for the safety of major dam systems in Sri Lanka.
- 04:42 PM — Rs. 131 billion in capital expenditure allocated to maintain and improve public healthcare services under the Central Government and Provincial Councils.
- 04:47 PM — Rs. 3 billion allocated for replacing ageing ambulances in 2027, with an additional 45 ambulances to be provided through ADB assistance and a Japanese grant.
- 04:51 PM — Rs. 250 million allocated to establish a Robotic Surgery Training Centre at the Faculty of Medicine, Ragama, in collaboration with foreign universities.
- 04:52 PM — Rs. 500 million proposed to establish a trilingual hotel school in Polonnaruwa and upgrade the Pinnawala Hotel School.
- 04:55 PM — Tourist Police to be strengthened through specialised training, multilingual officers, dedicated patrol units, a 24-hour emergency hotline, and a mobile app to improve tourist safety across Sri Lanka.
- 05:00 PM — Increased compensation proposed for human-elephant conflict: Rs. 1 million for house damage, Rs. 2 million for death or total disability, and Rs. 500,000 for partial disability or other property damage.
- 05:04 PM — An Upper Watershed Area Management Authority proposed to protect the Central Highlands, with discussions underway to secure USD 100 million in loan assistance.
- 05:07 PM — Metro Bus service introduced around Colombo this year to be extended to the urban areas of Kandy, Galle, and Jaffna.
- 05:13 PM — Rs. 77 billion allocated for clean drinking water, sanitation, and industrial water supply, with private investment also under consideration.
- 05:19 PM — Government plans to build 10,000 houses in 2027, targeting 70,000 homes for low-income families. Housing assistance to increase from Rs. 1 million to Rs. 1.5 million per house, with a total allocation of Rs. 15 billion.
- 05:34 PM — Rs. 200 million proposed for feasibility studies and planning of a new centralised Sri Lanka Police administrative building in Colombo.
- 05:37 PM — Rs. 60 million allocated for the complete digitalisation of the Government Analyst’s Department.
- 05:37 PM — Rs. 250 million allocated for the establishment of a Defence Development Research Centre affiliated to the Ministry of Defence for security forces research.
- 05:37 PM — Funding allocated to the Ministry of Housing and Water Supply to continue the ‘Yathiwara’ housing programme for parents, initiated in 2026, during 2027.
- 05:48 PM — An additional Rs. 500 million proposed for Anuradhapura Sacred City development in 2027, alongside Rs. 1.076 billion already allocated by the Central Cultural Fund, to improve infrastructure and preserve heritage.
- 05:52 PM — DAT allowance for medical officers to be increased by Rs. 25,000, from Rs. 70,000 to Rs. 95,000, recognising their role in safeguarding public health and wellbeing.
- 05:53 PM — University academic staff to receive a Rs. 25,000 monthly allowance increase, phased as Rs. 12,500 from July 2027 and the remaining Rs. 12,500 from July 2028.
- 05:55 PM — Monthly risk allowance for prison officers to be doubled from Rs. 8,000 to Rs. 16,000 — a 100% increase.
- 05:57 PM — Development Officers’ monthly travel allowance to increase to Rs. 1,000, with office rent allowances rising to Rs. 2,000 in Municipal/Urban Council areas and Rs. 1,500 in Pradeshiya Sabha areas.
- 05:58 PM — Judicial officers’ monthly professional allowance to increase by Rs. 25,000, with 50% effective from July 2027 and the balance in 2028.
TAX PROPOSALS NOW BEING ANNOUNCED:
- 06:05 PM — Monthly income tax-free threshold (PAYE/APIT) to be increased from Rs. 150,000 to Rs. 162,500 — salaries and allowances up to this amount will be exempt from income tax under Budget 2027.
- 06:06 PM — Wider personal income tax slabs proposed with rates of 6% to 36% — the monthly threshold for the highest rate raised from Rs. 358,000 to Rs. 433,000, providing additional monthly tax relief of Rs. 750 to Rs. 15,750.
- 06:10 PM — BOI-approved export manufacturing and tourism enterprises investing at least USD 3 million may qualify for an enhanced capital allowance of 200% of eligible capital expenditure, subject to conditions.
- 06:11 PM — Printed books, textbooks, dictionaries, educational publications, children’s colouring books, and exercise books to be exempt from VAT.
- 06:12 PM — VAT on cinema ticket revenue to be calculated based on each party’s share rather than the full ticket price, for film producers, distributors, the National Film Corporation, and cinema operators.
- 06:13 PM — Newly VAT-registered businesses will qualify as Eligible Exporters if over 80% of turnover comes from exports in the preceding six months — the previous calendar-year requirement removed.
- 06:14 PM — Central Bank’s Indicative Exchange Rate to be used for foreign currency conversions for VAT purposes, with implementation guidelines to be issued by the CGIR.
- 06:15 PM — Bunker fuel supplied to ships in international transport to be exempt from the Social Security Contribution Levy (SSCL).
- 06:16 PM — A comprehensive review of betting and gaming taxes, fees, and charges proposed to eliminate double taxation and establish a simpler, fairer framework under the new Gambling Regulatory Authority.
- 06:16 PM — Tax law amendments proposed to remove ambiguities, simplify compliance, and prevent taxpayers from losing legitimate refunds or input tax credits due to technical errors, while safeguarding government revenue.
- 06:17 PM — Effective 13 November 2026, Special Commodity Levy reduced on imported sprats from Rs. 100 to Rs. 10/kg, Maldive fish from Rs. 302 to Rs. 10/kg, and dried chillies reduced by Rs. 50/kg.
- 06:18 PM — 25% reduction in CESS rates on 800 selected HS code lines, and removal of the 10% PAL on specified newsprint imports from 1 January 2027.
- 06:20 PM — Special Commodity Levy on imported sugar increased by Rs. 10 per kg to protect domestic sugar producers and promote fair competition.
- 06:21 PM — Tourism Development Levy (TDL) on tourism establishments’ turnover to be abolished, with Treasury funding provided until a new tourism financing mechanism is introduced.
- 06:22 PM — The existing Excise Ordinance to be simplified and amended as an interim measure until a new Excise Act is introduced.
- 06:36 PM — The Budget Speech concluded with an emphasis on collective effort to foster national development across political divisions, alongside formal recognition of Ministry of Finance officials for their role in drafting the proposal.