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ICTA to cease operations by end of Q1 2026

ICTA to cease operations by end of Q1 2026

25 Jan 2026 | By Shenal Fernando


  • GovTech preparing to take over functions
  • Project transferring already commenced
  • GovTech Board of Directors to be led by Hans

The Information Communication Technology Agency of Sri Lanka (ICTA) is set to cease all operations by the end of the first quarter of 2026, as GovTech Ltd. prepares to take over its functions.

Speaking to The Sunday Morning Business, Ministry of Digital Economy Acting Secretary Waruna Sri Dhanapala revealed that a request had been made to the Ministry of Finance to commence the liquidation of ICTA. 

He added that the agency had been allocated funds for its operations only for the first quarter of 2026.

“We have allocated funds for ICTA only up to the first quarter – i.e. up to March only. We have asked the Ministry of Finance to take measures to liquidate it properly and to hand over its tasks to GovTech,” he stated.

He further revealed that they had already commenced the transferring of projects undertaken by ICTA for external entities to GovTech.

Dhanapala admitted that despite the current efforts to liquidate the institute, ICTA would continue to exist as an entity as it was established by an act of Parliament, adding that steps would have to be taken to repeal the act.

However, he stated that for all practical purposes, ICTA would cease all functions by the end of the first quarter of 2026, with all its commitments and development activities to be carried out under the new entity, GovTech.

Commenting on the fate of existing employees of ICTA, the Acting Secretary stated that they could apply for positions within GovTech.

Dhanapala further revealed that the Board of Directors of GovTech, led by Dr. Hans Wijayasuriya, had been constituted and that recruitment of employees for the organisation had also commenced.

The previous Government announced its decision to wind down ICTA as far back as 2022, when, during the 2023 Budget speech, former President Ranil Wickremesinghe, in his capacity as the Minister of Finance, proposed that the agency be abolished since it had completed its role.

The former Government announced that ICTA would be replaced by an entity titled the Digital Transformation Agency, established by the proposed Technology Promotion Act.

ICTA, an institution wholly owned by the Government, was formulated and operationalised to implement the e-Sri Lanka Development Project funded by the World Bank from 2004–2011. Through this project, ICTA was to be used to develop Sri Lanka’s economy, reduce poverty, and improve the quality of life of the people of the country. 

However, the sunset clause of ICTA contained in the Information and Communication Technology Act No.27 of 2003 was amended in 2008, allowing it a permanent existence.




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