Sri Lanka state revenues up in September, but may miss revised targets

Nov 16, 2009 (LBO) – Sri Lanka’s state revenues rebounded to 522.0 billion rupees in September 2009 up 12.1 percent from a year earlier, but year end targets may miss revised estimates, the Central Bank said. For the first nine months of the year fiscal deficit was 322.6 billion rupees or 6.5 percent of gross domestic product according to official estimates released by the Central Bank, compared to an year-end target of 7.0 percent of GDP.

Sri Lanka planned revised budget in July with revenues at 727.7 billion rupees (revised down from an original budget target of 854.9 billion rupees) and expenditure of 1074.1 billion rupees coinciding with an stand by loan from the International Monetary Fund.

“The performance during the first nine months and the outlook for the balance period of the year indicate that revenue collection in 2009 would be below the revised target,” the Central Bank said its Recent Economic Developments report.

The overall budget deficit was revised up to 346.4 billion rupees from an original budget target of 336.6 billion rupees.

Recurrent expenditures were also expected to exceed the revised