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One hundred billion shortfall from IMF revenue target, says state minister

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by Shihar Aneez

State revenue has seen a shortfall of Rs. 100 billion as of now compared to the revenue target agreed with the International Monetary Fund (IMF), State Finance Minister Ranjith Siyambalapitiya said.Tax cuts for political reasons in December 2019 has resulted in a sharp fall in Sri Lanka’s tax revenue to GDP ratio, which was among the lowest in the world at only 7.3 percent in 2021.

The weak tax revenue performance reflected a combination of low tax rates, narrow tax bases, and low collection efficiency, the International Monetary Fund (IMF) has said. The government had raised taxes and widened the tax net through reducing tax thresholds.

The IMF has said the Sri Lankan government has committed to an ambitious and primarily revenue-based fiscal consolidation strategy with the tax revenue targeted to reach about 10 percent of GDP.

“At present, we are around 100 billion rupees short of our revenue target,” Siyambalapitiya told reporters in Colombo. “But we cannot assume revenue to be the same every month. If you take excise tax, there is a trend. Highest custom taxes are received in November.

But anyway, there is some fall back,” he said.

“There is a number of reasons for this shortfall,” he said. “One is that we are still in an economic contraction. We have drastically restricted the vehicle imports, which gives the highest revenue for Customs. We have not allowed air conditions to be imported. We have not allowed large TVs to be brought.”

An IMF delegation is in Colombo to do the first review of the performance of the Lankan economy and policies against the committed goals the government agreed. A drastic deviation could delay the second tranche of a $3 billion loan. However, the government is confident that it has achieved most of the hard goals it agreed with the global lender.



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Landslide Early Warnings issued to the Districts of Badulla, Kalutara, Kandy, Kegalle, Kurunegala, Matale and Monaragala

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The National Building Research Organisation (NBRO) has issued landslide  early warnings to the districts of Badulla, Kalutara, Kandy, Kegalle, Kurunegala, Matale and Monaragala effective untill 2100hrs on 12th May 2026.

Accordingly,

Level II landslide early warnings have been issued to the divisional secretaries division and surrounding areas of  Passara in the Badulla district.

Level I landslide early warnings  have been issued to the divisional secretaries divisions and surrounding areas of Bandarawela in the Badulla district, Walallawita in the Kalutara district, Pasbage Korale,  Akurana,  Gangawata Korale,  Panvila,  Yatinuwara,  Ganga Ihala Korale,  Doluwa and  Udapalatha in the Kandy district, Mawanella,  Bulathkohupitiya,  Yatiyanthota,  Aranayaka,  Kegalle and  Rambukkana in the Kegalle district, Rideegama in the Kurunegala district, Rattota, Naula and Ambanganga Korale in the Matale district and Badalkumbura and Wellawaya in the Monaragala district.

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Showers about 100 mm are likely at some places in the Western, Sabaragamuwa, Central, Uva, Southern, North-western, Northern and North-central provinces and in Trincomalee district.

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WEATHER FORECAST FOR 11 MAY 2026
Issued at 05.30 a.m. on 11 May 2026 by the Department of Meteorology

 

The low-level atmospheric disturbance in the vicinity of Sri Lanka is likely to develop into a low-pressure area around the next 36 hours. Therefore, the prevailing showery conditions over the island are expected to continue during the next few days.

Showers or thundershowers will occur at times in most parts of the island and Cloudy skies are expected, under the influence of the aforementioned system. Heavy showers about 100 mm are likely at some places in the Western, Sabaragamuwa, Central, Uva, Southern, North-western, Northern and North-central provinces and in Trincomalee district.

The general public is kindly requested to take adequate precautions to minimize damage caused by temporary localized strong winds and lightning during thundershowers.

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Treasury theft: Speaker’s conduct brought to IPU’s attention: SJB  

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Dayasiri

SJB MP Dayasiri Jayasekera has sought the intervention of the Inter-Parliamentary Union (IPU) to pressure the JVP-NPP government to respect the rights of the Opposition.

MP Jayasekera told The Island that they wouldn’t allow the NPP to suppress the truth regarding the theft of Treasury funds amounting to USD 2.5 million. He accused Speaker Dr. Jagath Wickremaratne of depriving the Opposition of its legitimate rights, at the behest of the government.

Jayasekera said that the Speaker’s conduct regarding the action taken against Deputy Secretary General of Parliament Chaminda Kularatne, too, had been brought to the notice of IPU and other international associations.

The text of MP Jayasekera’s letter to the Secretary general of IPU: “I respectfully submit this petition seeking the attention and intervention of the Inter-Parliamentary Union concerning a matter affecting parliamentary accountability, the rights of elected representatives, and the proper functioning of constitutional oversight within the Parliament of Sri Lanka.

On 06 May 2026, I Dayasiri Jayasekara MP submitted a formal request to the Hon. Speaker of Parliament seeking permission, under the Parliament (Powers and Privileges) Act No. 21 of 1953 and Standing Order 29(1), to raise a question of privilege regarding alleged constitutional and parliamentary violations by Mr. Harshana Suriyapperuma, Secretary to the Treasury of Sri Lanka.

The proposed privilege motion raised matters including:

1. Alleged violations of Articles 148, 149, and 150 of the Constitution of Sri Lanka concerning parliamentary control over public finance;

2. Alleged failure to report to Parliament concerning a controversial and unlawful transfer of approximately USD 2.5 million from the Treasury;

3. Alleged non-compliance with parliamentary committee procedures under the Standing Orders of Parliament;

4. Questions relating to constitutional eligibility under Article 91(1)(d)(xiii) of the Constitution concerning dual citizenship and qualification to sit and vote in Parliament;

5. A request that the matter be referred to the Parliamentary Ethics and Privileges Committee established under Standing Order 118.

 Despite the seriousness of the constitutional and parliamentary issues raised, the Hon. Speaker declined permission for the privilege issue to be raised in Parliament.

It is respectfully submitted that this refusal has the effect of:

•  Preventing an elected Member of Parliament from exercising his parliamentary oversight function;

• Restricting parliamentary scrutiny over matters involving public finance and constitutional accountability;

•  Undermining the privileges of Members of Parliament to raise matters of urgent public importance;

•  Limiting institutional transparency concerning allegations involving senior state officials.

The right of parliamentarians to raise questions of privilege and matters relating to constitutional governance is an essential component of parliamentary democracy and legislative independence. The refusal to permit even the presentation or preliminary consideration of such a matter raises serious concerns regarding parliamentary accountability mechanisms in Sri Lanka.

Accordingly, I respectfully request that the Inter-Parliamentary Union:

1.Take cognizance of this matter as one affecting the rights and functions of Members of Parliament;

2.Seek clarification from the relevant parliamentary authorities in Sri Lanka regarding the grounds upon which the privilege motion was disallowed;

3.Consider whether the refusal is compatible with internationally recognised principles of parliamentary democracy, accountability, and freedom of parliamentary speech;

4. Encourage the Parliament of Sri Lanka to ensure fair and transparent procedures governing parliamentary privilege motions and constitutional oversight.

I further request that this communication be placed before the appropriate committee or mechanism within the IPU dealing with the rights and duties of parliamentarians.”

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