Sri Lanka Targets Robust Economic Growth with 2025 Budget

Sri Lanka's President Anura Dissanayake unveils a strategic budget aiming for a 5% economic growth in 2025. Key measures include boosting tax revenue, digitising services, and increasing public sector salaries. The budget also aligns with IMF programme goals, ensuring a gradual debt repayment plan from 2028.

President Anura Dissanayake of Sri Lanka has projected a 5% economic growth rate for 2025, as he announced the first comprehensive budget under the National People's Power government. This budget focuses on inclusive economic participation and sets a foundation for growth.

The budget plans to enhance tax revenue to 15% of GDP by 2025 and emphasizes digitizing government services to evolve into a cashless economy. Aligning with IMF targets, the budget outlines steps to manage debts and anticipates a budget deficit reduction to 6.7% in 2025.

Additionally, a phased salary increase for state employees was announced, with a focus on integrating allowances and raising the minimum salary. These fiscal measures reflect the government's continuous adherence to IMF programmes and strategic economic planning.