The Cabinet today approved the Appropriation Bill for 2019 with an annual expenditure of Rs 4,470 billion, the Finance Ministry said in media statement.
“The Bill was submitted by Finance Minister Mangala Samaraweera and the budget deficit would be 4.8 percent of the GDP,” it said.
The Appropriation Bill would be presented in Parliament on February 5 and the Budget proposal would also be presented by Finance Minister Mangala Samaraweera on the same day.
The statement said:
“In 2014 Government Revenue was recorded as 11.5 percent of the GDP and it gradually increased after the present Government came into office in 2015.
“The Government is excepting to increase the GDP to 11.5 percent end of this year,” the Ministry said,
“This annual National Budget was prepared under the Medium Term Fiscal Framework (MTFF) by adopting a performance-based budgeting approach with the aim of strengthening the on-going fiscal consolidation programmes.
“The government was also aimed to achieve the target of increasing the State revenue to 17 percent and limiting the recurrent expenditure to 15 percent of the GDP in the year 2021.
“Rs.2, 200 billion had been allocated for debt servicing in 2019. This is the highest a Government in the history of this country is compelled to bear for debt servicing. The recurrent expenditure includes Rs 1,425 billion while the Capital Expenditure will cost Rs 838 billion,” the Ministry said.