News

Budget 2021 highlights

 

  • National debt targeted to be reduced from 90% to 70%
  • Rs. 20,000 million for the construction of 50,000 km of rural roads under the 100,000 km programme
  • Rs. 15,000 million for the expansion of telecom services and to achieve 100% coverage for 4G fiber broadband
  • Daily wage of estate workers to be increased to Rs. 1,000 from January 2021
  • Rs. 5,000 million for improvement of rural hospitals, dispensaries, and maternal clinics
  • Rs. 3,500 million for accelerated forestation programme during 2021-2023 to expand forest cover by 15,000 acres
  • Commodity trading hub to be implemented to aid activities at the Colombo and Hambantota Ports
  • Immediate steps to be taken to construct a 300 MW coal power plant and a 600 MW natural gas power plant
  • A sports economy of $ 1,000 million targeted by 2025
  • Single-use polythene and plastic to be banned from 1 January 2021
  • Proposal to amend EPF Act to extend retirement age to 60 years
  • A 50% income tax exemption to local companies if registered before 31 December 2020
  • Current VAT of 8% to continue for businesses
  • 65% of foreign loans to be used for development initiatives
  • Measures have been taken to improve production capacity of SPC
  • A new investment zone to be introduced for local and foreign investors