Highlights of Sri Lanka’s 2005 national budget.

Highlights of Sri Lanka’s 2005 national budget.

The UPFA government’s budgetary strategy for the next three years.

1. Raise government revenue, within a medium term framework, to 19 percent of GDP and generate a revenue surplus in the budget equivalent to 3% of GDP.

2. Raise public investment to eight percent of GDP.

3. Reduce domestic debt financing to two percent of GDP.

4.The government’s medium term fiscal strategy will support a macro policy to stabilize exchange rates and interest rates by reducing interest differentials between Sri Lanka and her trading partners. Highlights of Sri Lanka’s 2005 national budget.

The UPFA government’s budgetary strategy for the next three years.

1. Raise government revenue, within a medium term framework, to 19 percent of GDP and generate a revenue surplus in the budget equivalent to 3% of GDP.

2. Raise public investment to eight percent of GDP.

3. Reduce domestic debt financing to two percent of GDP.

4.The government’s medium term fiscal strategy will support a macro policy to stabilize exchange rates and interest rates by reducing interest differentials between Sri Lanka and her trading partners. Sector Highlights

  • Capital markets – The application of VAT on
    financial services on stock market transactions and income tax imposed on
    the profit on sale of shares, will be replaced by a simple 0.2% tax on
    transaction value on each s