Following several media reports being circulated that many contractors have demanded compensation from the Government due to the loss that they incurred after the suspending of State run large-scale development projects, the Finance, Economic Stabilisation, and National Policies Ministry stated that all the suspended projects are scheduled to be recommenced once the debt restructuring programme is concluded.

According to media reports, contractors have reportedly demanded a compensation amount of around Rs. 2,000 million as the loss for the suspended contracts of large-scale projects implemented by certain Ministries. Those reports claimed that around 300 contracts have allegedly been suspended for various reasons. The contractors have reportedly demanded the above amount as the loss for the suspension of only nine contracts.

Speaking to The Daily Morning, the State Minister of Finance Ranjith Siyambalapitiya said that the Ministry has not been notified about such demands raised by the contractors or about any legal actions taken against the Government. Stating that these projects are currently suspended due to the financial difficulties faced by the Government, he noted that these projects will be resumed once the debt restructuring programme is concluded. According to Siyambalapitiya, the debt restructuring programme is likely to be concluded by July of this year (2024). He also stated that the suspension of these megaprojects has saved a large amount of Government revenue during the past one and a half years, which was the hardest time in Sri Lanka in terms of the economy.

Last year (2023), 33 large-scale development projects were completed, and 20 projects were suspended. It is also said that the work on 33 separate projects has slowed down due to the non-release of loans by foreign lenders.