President instructs Treasury to only provide provisions for essential public expenditure

President Ranil Wickremesinghe, in his capacity as the Minister of Finance, Economic Stabilization and National Policy, has instructed the Treasury Secretary to provide provisions only for essential government services. 

The directive was issued in an attempt to maintain public services until the state revenue situation improves. 

Accordingly, the list of expenditure to be funded includes salaries, debt servicing, pensions, medical supplies for hospitals, subsidies for low-income groups, scholarships, farmers’ pensions, school nutrition programs, payments for war heroes and disabled soldiers, utility payments, food supplies for hospitals and prisons, and others. 

This move is expected to have a significant impact on the economy, as it will prioritize the most important needs of the people while also preventing the misuse of funds.

Emphasising on the need to abide by the provided categories of expenditure deemed essential, the Treasury noted that releasing funds for any other purpose could negatively impact the people, and thereby slow down the country’s economic recovery. 

The decision to only provide funds for essential expenditure is being widely welcomed as a step in the right direction, the President’s Media Division (PMD) reported, adding that it is expected to play a crucial role in restoring stability and growth to the nation’s economy.