News
Remove ban on vehicle imports – Customs…
foreign credit line to facilitate vehicle imports proposed
Revenue shortfall Rs 443 bn:
By Shamindra Ferdinando
Sri Lanka Customs has warned the Finance Ministry that it will fall short of its revenue targets for 2023 by at least Rs. 443 bn unless the government abolishes the ban on vehicle imports as well as restrictions on other imports immediately.
The top Customs management recently told the Sectoral Oversight Committee (SOC) on National Economic and Physical Plans that the Finance Ministry had been appraised of their inability to meet anticipated revenue targets.
The Customs officials appeared before the SOC, headed by SLPP lawmaker Mahindananda Aluthgamage, on 08 June.
Aluthgamage said that only Rs 330 bn had been collected up to May this year though the government projected Rs 1,226 bn in revenue.
Sri Lanka imposed a ban on vehicle imports in early 2020 due to a severe balance of payments crisis that ultimately led to declaration of bankruptcy in April 2022.
The SOC has summoned Customs to ascertain their contribution to the government revenue this year.
The SOC has been told that the maximum Customs could collect this year is Rs 783 bn under the present circumstances.
The all-party committee has also been informed that approximately 20 percent of Customs revenue was earned through taxes imposed on vehicle imports. Therefore, the vital unit couldn’t be expected to succeed unless the government created the much needed requirement.
Customs, Inland Revenue and Excise Departments account for more than 90 % of government revenue.
Customs also pointed out that since 2014 they never collected revenue more than Rs 1,000 bn. During the 2014-2022 period, 2014 had been the best year with Customs revenue collection reaching Rs 923 bn mark at the time the late Mangala Samaraweera served as the Finance Minister. Of this amount, Rs 194 bn had been collected as taxes imposed on vehicle imports, the arliament said. The statement issued by Parliament quoted Customs as having said that Rs 150 bn could be collected by the end of this year if ban on vehicle imports was done away with immediately.
Customs expressed the view that by resumption of vehicle imports immediately in line with their overall proposals, revenue collection for this year could be increased to Rs 1,100 bn from projected Rs 783 bn.
However, SOC and Customs seemed to have agreed that whatever the changes brought in the original estimate of Rs 1,226 couldn’t be met.
SOC Chairman Aluthgamage has assured that discussions were underway and the government would take a decision in this regard soon.
During the proceedings, it was revealed that as a result of issuance of a particular gazette in 2012 any quantity of gems could be imported by just paying USD 200. Customs have requested SOC to restore the system that had been in operation before to permit imposition of duty on the basis of the estimated value.
They also discussed the need to address Customs-related court cases within a specified time. Former minister Aluthgamage said that he would take up this issue with Justice Minister Dr. Wijeyadasa Rajapakse, PC. Customs also revealed that there were approximately 1,200 held by them pending court cases.
SOC also listened to the shocking revelation that approximately 60% percent of imports weren’t subjected to Customs inspections at all. Declaring that sugar, fertiliser and rice that were brought through the green channel never subjected to Customs scrutiny, SOC was told cigarettes, liquor and other items were smuggled in with above mentioned items.
MP Aluthgamage has pointed out that major fraudulent activities took place as Customs officers, based at Bandaranaike International Airport, were not subjected to checks at all. Customs have assured SOC Chairman after having studied the situation a directive would be issued to pave the way for BIA-based Customs officers to be checked.
Latest News
Landslide RED warnings continue to be in force for the Districts of Kandy, Kegalle, Kurunegala, Matale and Nuwara Eliya
The RED Landslide Early Warnings issued by the Landslide Early Warning Center of the National Building Research Organization [NBRO] to the Districts of Kandy, Kegalle, Kurunegala, Matale and Nuwara Eliya have been extended until 1600hrs today [06th December 2025]. Landslide Early warnings have also been issued to the districts of Badulla, Colombo, Galle, Gampaha, Kalutara, Matara, Monaragala and Ratnapura,
Accordingly,
LEVEL III RED warnings have been issued to the Divisional Secretaries Divisions and surrounding areas of Gangawata Korale, Deltota, Doluwa, Thumpane, Medadumbara, Minipe, Pathahewaheta, Yatinuwara, Ganga Ihala Korale, Akurana, Udunuwara, Panvila, Pathadumbara, Kundasale, Pasbage Korale, Hatharaliyadda, Ududumbara, Poojapitiya, Harispattuwa and Udapalatha in the Kandy district, Galigamuwa, Kegalle, Mawanella, Rambukkana, Dehiowita, Warakapola, Deraniyagala, Bulathkohupitiya, Ruwanwella, Yatiyanthota and Aranayaka in the Kegalle district, Narammala, Mawathagama, Mallawapitiya, Alawwa, Rideegama and Polgahawela in the Kurunegala district, Rattota, Wilgamuwa, Ukuwela, Pallepola, Matale, Laggala Pallegama, Yatawatta, Naula and Ambanganga Korale in the Matale district, and Nildandahinna, Walapane, Hanguranketha and Mathurata in the Nuwara Eliya district.
LEVEL II AMBER warnings have been issued to the Divisional Secretaries Divisions and surrounding areas of Uva Paranagama, Kandeketiya, Bandarawela, Soranathota, Hali_Ela, Meegahakivula, Badulla, Ella, Haputhale, Lunugala, Welimada, Passara and Haldummulla in the Badulla district, Nuwara Eliya, Ambagamuwa Korale, Thalawakele, Norwood, Kothmale West and Kothmale East in the Nuwara Eliya district, and Kahawaththa, Godakawela and Kolonna in the Ratnapura district.
LEVEL I YELLOW warnings have been issued to the Divisional Secretaries Divisions and surrounding areas of Padukka and Seethawaka in the Colombo district, Elpitiya and Yakkalamulla in the Galle district, Mirigama, Attanagalla and Divulapitiya in the Gampaha district, Bulathsinhala, Ingiriya and Horana in the Kalutara district, Athuraliya and Pasgoda in the Matara district, Bibile and Medagama in the Monaragala district, and Kiriella, Nivithigala, Eheliyagoda, Kuruwita, Kalawana, Pelmadulla, Elapatha, Balangoda, Openayake, Imbulpe, Ayagama, Ratnapura and Kaltota in the Ratnapura district.
News
IMF pledges additional aid to Lanka following Cyclone Ditwah destruction
The International Monetary Fund (IMF), on Thursday, signalled strong solidarity with Sri Lanka in the wake of Cyclone Ditwah, confirming that it is actively exploring options to provide further support for recovery and resilience beyond the existing Extended Fund Facility (EFF).
Julie Kozack, Director of the IMF’s Communications Department, opened her remarks with heartfelt condolences:
“Our deepest sympathies go out to the people of Sri Lanka for the effects of the devastating cyclone. Our hearts mourn the loss of life that has taken place,” she said, extending condolences to other Asian nations also grappling with severe flooding, including Indonesia, Malaysia, Thailand, and Vietnam.
On Sri Lanka, Kozack emphasised that the IMF is closely engaging with authorities, development partners, and counterparts to assess the humanitarian, social, and economic toll of the disaster.
“Large parts of Sri Lanka have been affected by floods, and we expect economic activity to be adversely impacted, in addition to the significant human toll,” she noted.
The IMF is awaiting the completion of a rapid post-disaster damage assessment, led by Sri Lankan authorities, in collaboration with international partners, to better gauge the economic impact.
“We are continuing to support Sri Lanka’s recovery, reform, and resilience under the EFF arrangement. Our staff is looking into options to further support Sri Lanka in the recovery process,” Kozack confirmed.
She reiterated that the Board meeting, scheduled for 15 December, remains on track, following the staff-level agreement on the fifth review reached in October—prior to the cyclone.
“We will provide additional details as the assessment of economic needs and damages moves forward, and as we have more information to inform our thinking around the options,” she added.
News
Marrikkar Mohamed Thahir takes oath as SJB National List MP
Naina Thambi Marikkar Mohamed Thahir was sworn in as a Samagi Jana Balawegaya (SJB) National List Member of Parliament before Speaker Dr. Jagath Wickramaratne yesterday (05).
His appointment follows the resignation of SJB Parliamentarian Muhammathu Ismail Muththu Mohamed, who stepped down from his position on 28 November.
The SJB subsequently nominated Thahir to fill the resulting vacancy.
Accordingly, the Election Commission issued a Gazette Extraordinary declaring Naina Thambi Marikkar Mohamed Thahir a Member of Parliament, in terms of Section 64(5) of the Parliamentary Elections Act, No. 1 of 1981, as amended by Section 6 of the Elections (Special Provisions) Act, No. 35 of 1988.
With the issuance of the gazette, and the subsequent swearing-in, Thahir has officially assumed duties as a National List MP, representing the SJB.
-
News6 days agoWeather disasters: Sri Lanka flooded by policy blunders, weak enforcement and environmental crime – Climate Expert
-
Latest News7 days agoLevel I landslide RED warnings issued to the districts of Badulla, Colombo, Gampaha, Kalutara, Kandy, Kegalle, Kurnegala, Natale, Monaragala, Nuwara Eliya and Ratnapura
-
Latest News7 days agoINS VIKRANT deploys helicopters for disaster relief operations
-
News3 days ago
Lunuwila tragedy not caused by those videoing Bell 212: SLAF
-
Latest News4 days agoLevel III landslide early warnings issued to the districts of Badulla, Kandy, Kegalle, Kurunegala, Matale and Nuwara-Eliya
-
News2 days agoLevel III landslide early warning continue to be in force in the districts of Kandy, Kegalle, Kurunegala and Matale
-
Features4 days agoDitwah: An unusual cyclone
-
Latest News5 days agoUpdated Payment Instructions for Disaster Relief Contributions
