Rs. 21.7 b supplementary allocation presented to P’ment

Wednesday, 22 January 2020 02:38 - - {{hitsCtrl.values.hits}}

A Supplementary Allocation of a total of Rs. 21,708 million was presented to Parliament yesterday, seeking House approval for the expenses incurred in the month of November to provision 73 different programs and purposes.

Using the Supplementary Allocation, the Government has also sought House approval for the additional allocation of Rs. 330 million additional allocation provided to meet the increased cost of fuel, vehicles, plant and machinery maintenance, postal and communication and electricity and water supply for the President.

Ministry of Agriculture, Rural Economic Affairs, Livestock Development, Irrigation, and Fisheries and Aquatic Resources Development has been allocated Rs. 350 million additional money for the capital expenses for the Agriculture Sector Modernization Project, and Rs.240 million additionally for the expenses on Climate Smart Irrigated Agriculture Project. Rs. 2.4 billion was allocated to the Treasury to meet the shortfall of provisions for interest payments on bank overdraft and other debt, followed by Rs. 2 billion to the Department of Pensions to shoulder the revision of pensions.

Department of Sri Lanka Railway has been allocated Rs. 450 million to pay Customs Import Duty, Nation Building Tax, Value Added Tax for purchasing three sets of diesel electrical locomotives. Rs. 3.1 billion has been allocated to the Ministry of Health, Nutrition and Indigenous Medicine to settle the bills relating to medical supplies to State Pharmaceutical Corporation and State Pharmaceutical Manufacturing Corporation. The Ministry of Megapolis and Western Development has been allocated Rs. 4.5 billion to implement the town development in nine provinces, restoration of water quality in Beira Lake, restoration of Jaffna Town Hall, Sahasra Bus Program, Metro Colombo Solid Waste Management System, and the Urban Regeneration Program.

Supplementary allocations are being provided in terms of Clause 6 (1) of the Appropriation Act as required. These are provided strictly for the purposes specified in approved Budget Estimates to relevant spending agencies, having carried out a needs assessment, giving consideration to relevant financial regulations, and approved procedures.

However, the supplementary provision presented yesterday did not change the approved total expenditure limits of the annual estimate by Parliament. The allocation of such purposes has been made under the Project of Budgetary Support Services and Contingent Liabilities of the Department of National Budget and it is under the limit of the Approved Annual Budget. Therefore, either the borrowing limit or the maximum limit of total expenditure will not be increased due to the granting of these supplementary provisions. The purpose of this provision is to facilitate the smooth conduct of public finance management in a more efficient and effective manner. (AH)