Sri Lanka government revenue declines in first half this year

Sri Lanka government revenue declined as a percentage of estimated GDP to 6.4 percent from 6.7 percent recorded in the corresponding period of 2017 Finance, Ministry report revealed.  In nominal terms, total revenue increased by 5.1 per cent to Rs. 920.8 billion during this period under consideration from Rs. 876.3 billion recorded in the corresponding period of 2017.
 
During the first half of 2018 total expenditure and net lending declined to 8.8 percent of estimated GDP from 9.3 per cent recorded in the corresponding period of 2017. Recurrent expenditure declined to 6.9 percent of estimated GDP during the same period under consideration from 7.1 per cent in the corresponding period of 2017.
 
Capital expenditure and net lending declined to 1.9 percent of estimated GDP from 2.2 per cent recorded in the same period of 2017.As a per percentage t of estimated GDP, the overall budget deficit declined to 2.4 per cent (Rs. 345.8 billion) in the first half of 2018 from 2.6 per cent (Rs. 332.6 billion) recorded in the corresponding period of the previous year, the Finance Ministry disclosed.  
 
The primary account, as a percent of estimated GDP, improved to 0.3 per cent from 0.1 per cent in the corresponding period of 2017. During the first half of 2018 net domestic financing declined to Rs. 184.9 billion compared to Rs. 269.5 billion in the corresponding period of 2017, whereas net foreign financing (NFF) increased to Rs. 161.0 billion during the period under review in comparison to Rs. 63.1 billion recorded in the same period of 2017