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Contents

Part III · Fiscal Responsibility

15. Primary expenditure of the Government

Official English translation. The Sinhala text prevails. Open the official Sinhala text, official PDF on documents.gov.lk

(1)

The primary expenditure of the Government shall not exceed thirteen per centum of the estimated nominal gross domestic product for the relevant financial year.

(2)

The primary expenditure ceiling specified in the medium-term fiscal framework for the upcoming financial year and for the four succeeding financial years expressed as a nominal amount calculated with reference to forecast nominal gross domestic product calculated by the Ministry of the Minister of Finance as the case may be, shall also be consistent with the primary balance target specified in section 14.

(3)

The primary expenditure ceiling calculated as per subsection (2) –

(a)

for the upcoming financial year shall be binding for the annual budget for the upcoming financial year at the time of its submission, approval, and execution;

(b)

for the four succeeding financial years shall be updated on an annual basis to reflect the latest estimates for nominal gross domestic product for the relevant financial years and to ensure ongoing consistency with the primary balance target specified in section 14.

(4)

The primary expenditure ceiling may be initially reviewed no sooner after five years from the date of coming into operation of this Act, and be reviewed every five years thereafter, and shall be updated to be consistent with the primary balance target and the debt reduction objective.

Part IV

Preparation and Approval of Annual Budget

Part V

Adjustments to the Annual Budget During the Year

Part VI

Budget Execution

Part VII

Financial Management

Part VIII

Statutory Funds

Part IX

Public Investment Management

Part X

Government Borrowings and Guarantees

Part XI

Accounting and Reporting

Part XII

State Owned Enterprises

Part XIII

Provincial Councils and Local Authorities

Part XIV

Cadre Management

Part XV

Offences and Penalties

Part XVI

Miscellaneous Provisions

Part XVII

Repeals

Part XVIII

Interpretation