Thursday Nov 21, 2024
Thursday Nov 21, 2024
Monday, 12 October 2020 00:00 - - {{hitsCtrl.values.hits}}
President Gotabaya Rajapaksa with Prime Minister Mahinda Rajapaksa – File photo
By Chandani Kirinde
Government expenditure for the year 2021 has been estimated at Rs. 2,678 billion with the highest allocations for the Ministries of Defence, Highways and Provincial Councils, according to the Appropriation Bill for next year.
The Bill which was approved by Cabinet last week has been published in the Government Gazette ahead of its presentation to Parliament. Separate allocation have been made for State Ministries in the Budget with those related to the agriculture and rural development sectors getting the bulk of the allocations with the highways and road development sector.
Of the total of approximately Rs. 2,678 billion (Rs. 2,678,040,000,000) estimated for the service of the period beginning on 1 January 2021 and ending on 31 December 2021, Rs. 1,714,301,178,000 is for recurrent expenditure while Rs. 963,738,822,000 will be for capital expenditure.
The expenditure will be met from payments which are authorised to be made out of the Consolidated Fund or any other fund or moneys of, or at the disposal of the Government and from borrowing made in the financial year 2021.
The estimated expenditure of the Government authorised by laws to be charged on the Consolidated Fund shall be Rs. 2,228 billion for 2021.
The limit on borrowings for the financial year 2021 has been set at Rs. 2,900 billion with the details of such loans to be incorporated in the Final Budget Position Report which is required to be tabled in Parliament under section 13 of the Fiscal Management (Responsibility) Act No. 3 of 2003.
The limit on borrowings will be provided that, the difference between the total short-term borrowing raised during the financial year 2021 and the total settlement of short-term borrowing made during the financial year 2021 shall only be considered in deciding the volume of short-term borrowing for the purposes of calculating the borrowing made during the financial year 2021 as specified by the appropriations Bill.
The highest allocations in the Budget will be for the Ministry of Defence topping Rs. 355 billion (Rs. 355,159,250,000) of which Rs. 316 billion (Rs. 316,806,290,000) will go towards recurrent expenditure while capital expenditure at Rs. 38 million (Rs. 38,352,960,000).
The State Ministry of Internal Security, Home Affairs and Disaster Management has been allowed around Rs. 152 billion (Rs. 130,818,002,000 for recurrent expenditure, Rs. 21,647,040,000 for Capital expenditure).
The State Ministry of Provincial Councils and Local Government under which allocations are made to the nine PCs has been allocated over Rs. 338 billion of which around Rs. 279 billion (Rs. 279,824,000,000) will go towards recurrent expenditure while around Rs. 58 billion (Rs. 58,250,000,000) will go towards capital expenditure.
The Ministry of Highways will get around Rs. 330 billion of which around Rs. 329 billion (Rs. 329,999,590,000) will go towards capital expenditure while Rs. 185,415,000 will be for recurrent expenditure.
The Ministry of Public Services, Provincial Councils and Local Government will get around Rs. 271 billion of which over Rs. 270 billion (Rs. 270,473,000,000) will go towards recurrent expenditure while capital expenditure will be around Rs. 1 billion (Rs. 1,250,000,000).
The allocation for the Ministry of Finance is around Rs. 157 billion with recurrent expenditure accounting for over Rs. 100 billion (Rs. 100,338,845,000) while capital expenditure will be around Rs. 57 billion (Rs. 57,264,870,000).
The Ministry of Education has been allocated over Rs. 126 billion with over Rs. 102 billion (Rs. 102,670,000,000) towards recurrent expenditure and around Rs. 23 billion (Rs. 23,870,000,000) towards capital expenditure.
The Ministry of Health has been allocated around Rs. 159 million but the bulk of the money of around Rs. 128 billion (Rs. 128,480,998,000) will go towards capital expenditure while around Rs. 30 billion (Rs. 30,995,000,000) will go towards recurrent expenditure.
The Ministry of Urban Development and Housing will get around Rs. 23 billion (Rs. 530,341,000 for recurrent expenditure and Rs. 22,990,858,000 for capital expenditure.
The expense head of the Office of the President has been allocated close to Rs. 9.3 billion (Rs. 9,345,660,000) of which Rs. 3,206,180,000 will go towards recurrent expenditure and Rs. 6,139,480,000 will go towards capital expenditure.
The office of the Office of the Prime Minister has been allocated Rs. 1,051,750,000 of which recurrent expenditure and Rs. 149,500,000 for capital expenditure.
The Appropriation Bill provides for the service of the financial year 2021; authorises the raising of loans in or outside Sri Lanka, for the purpose of such service; makes financial provision in respect of certain activities of the Government during that financial year; enables the payment by way of advances out of the Consolidated Fund or any other fund or moneys, of or at the disposal of the Government, of moneys required during that financial year for expenditure on such activities and provides for the refund of such moneys to the Consolidated Fund and to make provision for connected matters.
The Bill was ordered to be published by Prime Minister Mahinda Rajapaksa who is also the Minister of Finance, Minister of Buddha Sasana, Religious and Cultural Affairs and Minister of Urban Development and Housing.
