Business Times

No IMF pressure on the 2012 budget : Minister Amunugama

Sri Lanka’s 2012 budget was presented in parliament with the aim of achieving development targets in a people’s friendly manner and there was no pressure from the International Monetary Fund (IMF) on budget proposals, said Senior Minister Sarath Amunugama at a post budget press conference organized by the Information Department in Colombo on Wednesday.

He noted that the action taken to devalue the rupee was not a fulfillment of any IMF conditions to gain the 7th tranche of $2.6 billion IMF standby facility which has been delayed by the monetary agency.
He revealed that Sri Lanka will get the 7th tranche in the first quarter of next year and an IMF team will visit Sri Lanka for talks shortly, a development that was exclusively reported by the Business Times some weeks back.

There was no connection between the IMF’s decision and the devaluation of the rupee from the budget, he said. Sri Lanka’s foreign reserves are at a satisfactory level with more than US$7 billion and investor confidence on Sri Lanka is satisfactory and it is growing, he added.

Sri Lanka’s recurrent expenditure has been brought down to manageable levels although it has increased slightly compared to budget 2011. The gap between revenue and expenditure had been brought down to Rs.1.8 billion, he disclosed.

The total estimated expenditure for 2012 is to be Rs.2, 220 billion, necessitating an increase in Recurrent Expenditure from Rs.1, 029 billion in 2011 to Rs.1, 109 billion in 2012, and the Capital Expenditure from Rs.938 billion to Rs.1, 111 billion. The total revenue will be Rs.1, 115 billion. Public Investment has increased from Rs.453 billion in 2011 to Rs.497 billion in 2012 in order to maintain the momentum in the growth rate of eight percent, he revealed.

“The 2012 budget has provided several concessions such as the fertilizer subsidiary, Samurdhi benefits and many more. No benefit has been cut. The government has allocated Rs 40 billion on the fertilizer subsidiary while Rs 32 billion has been set apart for Samurdhi,” he said.

Top to the page  |  E-mail  |  views[1]
SocialTwist Tell-a-Friend
Other Business Times Articles
Cold war between Treasury, Central Bank
Arbitrary tender cancellation delays Sri Lanka’s crude oil importation
Overall budget analysis for listed firms good : Analysts
Inconsistencies in land take-over law
Most Sri Lankans say lives not impacted by budget-poll
Understanding Budgets
Comment - Bits and pieces budget, doublespeak
Coconut oil is good for you after all!
Sri Lanka Design Festival ends on successful note
Sri Lanka reaches750,000 tourists level this week
Women are better judges than men in assessing emotions
Good response to little Pradeep’s plea to become a banker
Highlights/analysis of the budget
Budget ignores workers in the productive economy : CFL
Budget proposal to reclaim 37, 000 hectares of plantations not sending right signals
No IMF pressure on the 2012 budget : Minister Amunugama
Govt. to tackle fiscal deficit without compromising public investment : PBJ
Provincial class budget, inward look
Fixed broadband not enough for SL, mobile needed : Etisalat CEO
Lucky Lanka Milk founder wins Entrepreneur of the Year award
Japanese Peace Envoy Akashi here for Southern expressway opening
Sri Lanka Asia Asset Finance to raise over Rs.425 mln thro’ IPO
Factors impacting oil prices
LOLC Factors launches Gold Cheque Financing for SMEs in the North
Entrust Securities, Sri Lanka’s first ever licensed Non Bank Primary Dealer, to start trading on Tuesday
Nestle eyeing new segments in SL
Allianz Lanka launches new ‘Medi Care’ product
Janak Hirdaramani – pioneer in the apparel industry
Lanka IOC Chairman on working visit to Colombo
SMB Leasing PLC moves to new office
Three-pronged approach in BT-RCB budget poll
UAE minister says Sri Lanka has a lot of potential
Worrying developments and threat to academic autonomy in Sri Lanka universities
State enterprises should not be privatised: Top global economist
Social impact bonds mooted to help thousands of entrepreneurs
20 % of world’s richest take large slice of global resources
Higher costs, lower margins for telcos in 2012: Fitch
Lanka Ventures looks to Bangladesh, East Africa for power generation
Focus on increasing export competitiveness
Ageing bank directors seek divine intervention to stay in office
Massacre of the rich and the innocents


Reproduction of articles permitted when used without any alterations to contents and a link to the source page.
© Copyright 1996 - 2011 | Wijeya Newspapers Ltd.Colombo. Sri Lanka. All Rights Reserved | Site best viewed in IE ver 8.0 @ 1024 x 768 resolution