01. Report of the Committee to Review Project Offices and Project Management Units Review Committee
In the 2022 Interim Budget, the President has proposed that the functions of the Project Offices and Project
Management Units established for various purposes should be reviewed, taking into account the Cost and
recruitment of considerable staff. Accordingly, a committee under the chairmanship of Mr. H.T. Kamal
Padmasiri a former ministry secretary, was appointed to review and make recommendations as to whether
the desired objectives of those Project Offices and Project Management Units have been achieved and
whether they should be continued. The committee has recommended to close down 55 existing Project
Management Units, to suspend the activities of 32 others and to run 46 Project Management Units with
minimum staff. Accordingly, the Cabinet of Ministers approved the proposal presented by the Hon. President
in his capacity as the Minister of Finance Economic Stabilization and National Policies to implement the
recommendations of the committee report.
02. Base year updating of the National Consumer Price Index of Sri Lanka
The National Consumer Price Index is a key determinant of Gross Domestic Product deflation while being a
more descriptive indicator of overall inflation in the country.
The reference year for the first data series of the National Consumer Price Index is 2013. The items contained
in the goods and services basket and the weights of goods and services should also be updated to reflect the
current consumption expenditure of households in Sri Lanka.
The following measures taken by the Department of Census and Statistics were presented by the Hon.
President to the Cabinet of Ministers and received the approval of the Cabinet of Ministers.
• Updating the National Consumer Price Index from base year 2013=100 to base year 2021 =100.
• Processing and publication of new National Consumer Price Index and National Level Inflation Rate
every 21 days from January 2023.
• Weighting for the updated National Consumer Price Index based on consumer spending in 2019.
• Preparation and publication of the inflation rate for the urban areas of the Colombo District by
updating the Colombo Consumer Price Index for the new base year 2021=100, covering the urban
areas of the Colombo District from January 2023.
03. Agreement for Competency Verification Program between the “Takamol Company” of Saudi Arabia
and the Tertiary and Vocational Education Commission of Sri Lanka
A program is being implemented by the Tertiary and Vocational Education Commission under the Ministry
of Education and the Sri Lanka Foreign Employment Bureau in coordination with the relevant stakeholders
and in consultation with the skill verification officials of foreign countries to equalize the qualifications of
Sri Lankan skilled workers with foreign countries. It will allow migrant
workers to join overseas jobs with higher value, respect and greater economic benefits. Accordingly, it has
been proposed to enter into an agreement between Takamol Company, a government-owned business
services company under the Ministry of Human Resources and Social Development of Saudi Arabia, and
the Tertiary and Vocational Education Commission of Sri Lanka. The draft agreement has received the
clearance of the Attorney General and the approval of the Ministry of Foreign Affairs. The Cabinet of
Ministers approved the proposal presented by the Minister of Education to sign the relevant agreement
accordingly.
04. Joint cooperation agreement between the Sri Lanka Rupavahini Corporation and the Turkish Radio
and Television Corporation
In the second session of the Sri Lanka-Turkey Joint Committee on Economic and Technical Cooperation
held in the year 2021, it has been proposed to sign a cooperation agreement between the Ceylon Television
Corporation and the Turkish Radio & Television Corporation with the aim of further strengthening trade,
economic and technical cooperation between the two parties. The draft agreement has received the clearance
of the Attorney General and the approval of the Ministry of Foreign Affairs. The Cabinet of Ministers
approved the proposal presented by the Minister of Mass Media to sign the relevant agreement accordingly.
05. Memorandum of Understanding between the Democratic Socialist Republic of Sri Lanka and the
Republic of Maldives Sri Lanka on Cultural Cooperation
A cultural cooperation agreement has been proposed to be signed between the Democratic Socialist Republic
of Sri Lanka and the Maldives. The draft agreement has received the clearance of the Attorney General and
the approval of the Ministry of Foreign Affairs. The Cabinet of Ministers approved the proposal presented
by the Minister of Buddha Sasana, Religious and Cultural affairs to sign the relevant agreement accordingly.
06. Submission of orders enacted under the Colombo Port City Economic Commission Act No. 11 of 2021
to Parliament for approval
The Colombo Port City (Offshore Company Registration) Order No. 1 of 2022 enacted under the Colombo
Port City Economic Commission Act No. 11 of 2021 has been published in the gazette Extraordinary bearing
No. 2306/54 dated 17.11.2022. The Proposal Presented by the Hon. President in his capacity as the Minister
of Investment Promotion to present the said orders in the parliament for approval, was approval by the cabinet
of the Ministers.
07. Introducing Amendments to the Employees' Trust Fund Act No. 46 of 1980
A proposal to provide health insurance similar to Agrahara health insurance to private sector employees was
presented to Parliament by the Honorable President in the 2023 budget speech.. Accordingly the Cabinet of
Ministers approved the proposal presented by the Hon. President in his capacity as the Minister of Finance,
Economic Stabilization and National Policies to instruct the legal draftsman to prepare a bill to amend the
Employees' Trust Provident Fund Act No. 46 of 1980 enabling the implementation of said proposal.
08. Submission of the Welfare Benefits Act No 24 of 2002 and the regulations formulated under Electronic
Transactions Act No. 19 of 2006.
Regulations for payment of welfare benefits (section of eligible persons for receiving payments) as per the
provisions No. 1 of 2022 subject to section 27 of Welfare Benefits Act No. 24 of 2002 has been published in
the extraordinary gazette notification dated 20.10.2022. Furthermore, consolidated welfare management
systems regulations No. 2 of 2022 under Electronic Transaction Act No. 19 of 2006 has been published to
prepare electronic reports and documents to perform tasks and activities of the Welfare Benefits Act No. 24
of 2002 and to maintain an information system related to the same by the gazette extraordinary dated
29.11.2022. Accordingly, the Cabinet of Ministers approved the resolution furnished by the Hon. President
as the Minister of Finance, Economic Stabilization and National Policies to submit the aforementioned
regulations to the Parliament for its concurrence.
09. Amendment of Fisheries and Aquatic Resources Act No. 2 of 1996.
Approval was granted at the meeting of the Cabinet of Ministers held on 21.12.2020 for increasing the
penalties for disturbances caused to authorized officers when implementing the provisions of the Fisheries
and Aquatic Resources Act No. 2 of 1996 and to prepare a draft bill for revising the said Act including the
provisions for regulating illegal actions. Accordingly, clearance of the Attorney General was granted for the
draft bill. The Cabinet of Ministers approved the proposal furnished by the Minister of Fisheries to publish
the said draft bill in the government gazette and to table the same before the Parliament.
10. Introduction of amendments to the Partition Law.
Approval was granted at the meeting of the Cabinet of Ministers held on 05.10.2021 to draft a bill for
amending the Partition Law including provisions applicable to current requirements. Accordingly, clearance
of the Attorney General has been granted for the draft bill. The Cabinet of Ministers granted approval to the
proposal forwarded by the Minister of Justice, Prison Affairs and Constitutional Reforms to publish the draft
bill in the government gazette and thereby submit to the Parliament.
11. Submission of regulations issued under the Import and Export (Control) Act No. 1 of 1969 to the
Parliament for its approval.
The Cabinet of Ministers approved the resolution furnished by the Hon. President as the Minister of Finance,
Economic Stabilization and National Policies to submit import control regulations, for payment methods No.
3 of 2023 which have been published by the extraordinary gazette notification dated 19.01.2023 under the
Import and Export (Control) Act No. 1 of 1969 to the Parliament for its approval.
12. Draft Bill of Finance (Special Provisions) Act
The requirement to introduce a draft bill with the objective of managing funds owned by state establishments
was tabled in the Parliament by the Hon. President as the Minister of Finance, Economic Stabilization and
National Policies through a supplementary budget proposal 2022. Accordingly, the Cabinet of Ministers
approved the resolution submitted by the Hon. President to direct the Legal Draftsman to prepare a draft bill
to supervise the statutory funds systematically maintained by Ministries, Departments and other state
institutions and to implement a programme for the purpose.
13. Maintaining essential government services amidst extreme financial constraints.
Due to the economic crisis the government revenue has declined to a value as lower as 8.3% of the Gross
Domestic Product. The Cabinet of Ministers approved the resolution submitted by the Hon. President as the
Minister of Finance, Economic Stabilization and National Policies to direct the Secretary to the General
Treasury to take necessary measures to release imprest only for essential recurrent expenditure that is
essential for maintaining public services until the situation is turned favorable.
14. Rationalization of state expenses through systematic review
Hon. President, as the Minister of Finance, Economic Stabilization and National Policies proposed in the
budget proposals 2023 to introduce the zero based budgeting with the aim of rationalizing state expenditure.
Through a zero based budgeting methodology, double counting of programmes expenditure wastage, low
priority activities and efficient and productive methodologies of utilizing the allocation of existing provisions
will be recognized through a systematic review. Accordingly, the Cabinet of Ministers approved the
resolution submitted by the Hon. President as the Minister of Finance, Economic Stabilization and National
Policies to appoint 10 committees comprised of officers chaired by either a Deputy Treasury Secretary or a
senior officer of the Treasury in order to conduct a systematic review on the following Ministries to which a
higher portion of allocations are made from the annual budget estimations.
• Ministry of Transport and Highways
• Ministry of Public Administration, Home Affairs, Provincial Councils and Local Government
• Ministry of Education
• Ministry of Health
• Ministry of Agriculture
• Ministry of Plantation Industries
• Ministry of Defense
• Ministry of Public Security
• Ministry of Irrigation
• Ministry of Urban Development and Housing
