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Shortages: Auditor General’s report sheds light on many ills in health sector
By Saman Indrajith
The expenditure on medical supplies in the first quarter of 2022 was only Rs. 12.4 billion, a sharp drop from 2020 and 2021, the Auditor General’s Special Report on Procedures taken to avoid the Shortage of Pharmaceuticals in government hospitals by 13 May 2022, has revealed.
The amounts spent on medical supplies during the year 2020 and year 2021 were Rs. 83.5 billion and Rs. 73.6 billion respectively.
The actual quarterly average expenses on medical supplies in 2020 and 2021 were Rs. 20.8 billion and Rs. 18.4 billion respectively, the report has said.
The number of pharmaceutical items used in hospitals as Vital, Essential and Non-essential is 1,146; the number of surgical items is 8,648; the number of laboratory items is 3,900 and the number of the X-ray items is 44.
By 13 May, the number of Vital and Essential drugs out of stock in the Medical Supplies Division and hospitals was 190 and 51 respectively. Besides, 2,724 and 2,156 Vital and Essential surgical items were out of stock in the Medical Supplies Division and hospitals respectively at that time.
The number laboratory items and X-ray items out of stock in the Medical Supplies Division and hospitals was 850 and 18 respectively.The report says the future annual requirement is estimated by the respective hospital authorities based on the consumption and the remaining stocks, and sent to the Medical Supplies Division 13 months prior to the month in which the supply is required.
In the process of procuring medical supplies, the Medical Supplies Division has to send orders to the State Pharmaceutical Corporation for the procurement of estimated items with a supply period of 11 months.
The report has stated that the National Drug Quality Assurance Laboratory was established under the National Medicine Regulatory Authority to assist in the process of verifying the standards of procured medical supplies. Cabinet approval was given, on 15 October 2009, for the five-year Development Plan from 2010 to 2015, which was prepared at a cost of Rs. 410 million to develop the infrastructure and human resources of the National Pharmaceutical Quality Control Laboratory with a view to increasing the number of laboratory tests to check the quality of medical supplies.
According to the Manual on Management of Drugs, pharmaceuticals should be stored in well-ventilated spaces at specified temperatures. The Medical Supplies Division should maintain a secure stock for three months, and in addition to regular checks by a staff officer, sample testing should be done for the confirmation of the accuracy of drug storage and accounting.
The Auditor General’s report has said a number of other factors have contributed to shortages––poorly maintained computer system, lack of proper coordination and coordination between the Medical Supplies Division, the Ministry of Health, the State Pharmaceutical Corporation of Sri Lanka and the State Pharmaceutical Manufacturing Corporation of Sri Lanka, lack of regular monitoring, and progress of orders issued to the State Pharmaceutical Corporation of Sri Lanka and noncompliance with the procurement schedule.
The AG has found that the Medical Supplies Division submitted lists of orders for the respective year to the State Pharmaceutical Corporation of Sri Lanka through MSMIS or PRONTO computer system with a lead time of 11 months, but the corporation had not immediately commenced procurement process for those orders and the procurement was delayed until written copies of the order list were received by the corporation.
It took more than 18 days to send the written copies of the orders to the Import Division of the State Pharmaceutical Corporation, and since procurement had only begun thereafter, part of the supply period of 11 months had elapsed. Pharmacists and senior officials in the Medical Supplies Division placed the order through the computer system, but there had been a delay in sending written documents., the Auditor General has said.
Although 41 orders out of 90 for eight vital items and essential items were issued by the computer system to the State Pharmaceutical Corporation of Sri Lanka in the first two months of the year, it had taken between 18 days and six months for the Import Division of the State Pharmaceutical Corporation to receive the written copies of the order lists, the report found.
This shows that there is a lack of coordination among the Medical Supplies Division, Ministry of Health, State Pharmaceutical Corporation of Sri Lanka and State Pharmaceutical Manufacturing Corporation, which are mainly involved in the management of medical supplies, the Auditor General has observed in his report.
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PM meets Sri Lankan community living in London
Prime Minister Dr. Harini Amarasuriya, who is currently on an official visit to the United Kingdom, met with members of the Sri Lankan community living in London on Wednesday [20th] and engaged in cordial discussions.
Despite the event being held on a weekday, it was notable that nearly one thousand Sri Lankans representing the Sinhala, Tamil, and Muslim communities attended with great enthusiasm.
Addressing the gathering, Prime Minister Dr. Harini Amarasuriya stated that despite natural disasters and international crises, the present government has succeeded in stabilizing the country’s economy while providing relief to the people. She further noted that Sri Lanka’s political culture has now undergone a positive transformation that is irreversible.
Minister of Women and Child Affairs Saroja Paulraj, addressing the event, stated that a governance system has now been established in the country where all communities are treated equally and the benefits of economic development are shared fairly among all citizens.
Moving away from the traditional method of political gatherings, the event also provided an open platform for members of the Sri Lankan community to directly raise questions and express their views to the Prime Minister and the Minister.
Commenting on the organization of the event, the organizing committee stated that all expenses, including dinner, were borne by the participants themselves. The organizers further remarked that it is unsurprising that opposition groups, accustomed to organizing such events through the misuse of public funds, appear unsettled by this transparent process.
The occasion was attended by the Minister of Women and Child Affairs Saroja Paulraj and Sri Lanka’s High Commissioner to the United Kingdom, Nimal Senadheera.



[Prime Minister’s Media Division]
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Prime Minister Dr Harini Amarasuriya meets Foreign Secretary of the United Kingdom
Prime Minister Dr Harini Amarasuriya currently undertaking an official visit to London, United Kingdom, to participate in the 43rd Commonwealth of Learning (COL) Board of Governors Meeting 2026 held a bilateral meeting with the Yvette Cooper MP, Foreign Secretary of the United Kingdom ON Wednesday [20]. The Prime Minister was accompanied by Sri Lanka’s High Commissioner to the United Kingdom, Nimal Senadheera, along with officials from the Sri Lankan High Commission.
During the meeting, the Prime Minister conveyed Sri Lanka’s appreciation to the United Kingdom for the support extended in the aftermath of Cyclone Ditwa, including ongoing rebuilding and recovery assistance. The Prime Minister also commended the United Kingdom’s support in facilitating increased bilateral trade and exports for Sri Lanka.
The Prime Minister briefed the UK delegation on Sri Lanka’s recent economic developments and policy priorities, the Government’s commitment to advancing human rights and reconciliation, as well as Sri Lanka’s positive growth trajectory.
The two sides also exchanged views on current global geopolitical developments, challenges in the energy sector, and the importance of enhancing regional connectivity and long-term energy security.
Both sides also emphasised the importance of strengthening structured academic mobility frameworks while ensuring fairness, clarity, and integrity within migration systems.
They also reaffirmed their commitment to further strengthening bilateral cooperation between the two countries in areas of mutual interest.
[Prime Minister’s Media Division]
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Suspects involved in sureties controversy granted bail
Airbus bribe case:
Colombo Additional Magistrate Lahiru Silva yesterday (20) granted bail to Mohamed Riswan and Mohamed Irshan, who allegedly received money to stand as sureties for the late former SriLankan Airlines CEO, Kapila Chandrasena. They were identified as residents of Sanchi Arachchi Watta, situated next to the Hulftsdorp court complex.
Chandrasena was found dead at his brother-in-law, Aravinda De Silva’s residence, at No. 38, Pedris Road, Kollupitiya, on 8 May.
The Magistrate also granted bail to B. A. Tissa and Perumal Ganesh, who arranged for Riswan and Irshan to stand as sureties for Chandrasena, who is under investigation for allegedly receiving a USD 2 million bribe through his wife to facilitate an Airbus deal. They, too, residents of Sanchi Arachchi Watta, were granted bail on two personal bail of Rs. 500,000 each.
Airbus had to pay USD 4 billion in penalties after admitting it had paid huge bribes to secure contracts in 20 countries. Sri Lanka is among them.
The Magistrate directed that the Grama Niladhari should certify their residence and the relevant certificates submitted to court and to establish the financial status of those who stood as sureties for the four persons.
The court was told that Mohamed Riswan and Mohamed Irshan obtained 17 Grama Niladhari certificates from January till May 2026. On the basis of a statement recorded from Keselwatta Grama Niladhari S. Nilantha Silva police informed court that the first suspect had obtained 10 certificates and the second person seven.
Fourth suspect Ganesh had first met those who stood as sureties, on 05 May, in the court premises and struck the deal. Crime OIC of Keselwatta Police, Sub Inspector K.W.D. Anuruddha, told court that Mohamed Riswan, Mohamed Irshan and B. A. Tissa hadn’t even known who Chandrasena was and were not related to him in anyway, according to investigations. Police requested that the four persons be further remanded.
The Magistrate granted them bail and set the next hearing for 25 June.
Legal sources said that such illegal practices were rampant, and in this particular case the Court Registrar should have been able to see that the sureties were very much unlikely to be relatives of Chandrasena.
By Shamindra Ferdinando
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