Debts To Reduce Up To 75% By 2025 
Posted 8,June

By Chaveendra Dunuwille

In Local News

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The government is planning to reduce the public sector debt and to bring it below 75% of the  GDP by 2025, according to Treasury Secretary S.R. Attygalle. 

Stressing that non-debt resources will also contribute to bring the Gross Domestic Product to a  more stable status by the year 2025, he added that the Sri Lankan Government looks forward to  investing in non- debt creating resources. 

He further stated that the government plans to project non-debt creating resources “with around  Rs. 1 billion per annum in 2021 going forward”. The government anticipates to focus on such  resources with earnings of Rs. 1 billion annually from 2021 onwards. 

At the commencement of his presentation, Attygalle said “this forum is timely when the country  has seen the Port City Commission Act” implying that investors will simultaneously be aware of  the aforementioned project. 

Following the speech of the Secretary of the Treasury, Central Bank of Sri Lanka (CBSL)  Governor Deshamanya Prof. W.D. Lakshman expressed the CBSL policies and measures in  contributing and promoting investing in Sri Lanka. 

During this he also highlighted the stance on debt-creating. He said that while creating an  investment friendly backdrop in Sri Lanka, it is also important to focus on sustainable growth. 

Prof. Lakshman said CBSL encourages in stabilising the external sector conditions, and that they  look forward to reducing the debt ratio, which has already reduced by 8% in 2020, further. 

Moreover, the CBSL expects to reduce debt-creating investments and minimise the dependence  on commercial loans from financial markets as both stability and growth go hand in hand.