The 2027 Budget Presents the Investments that are Needed to Transform the Country from a Economic Stabalization to an Transformative Economy
The Prime Minister Dr. Harini Amarasuriya stated that the 2027 Budget has presented the investments necessary to move the country from a situation of crisis that existed when the Government assumed office towards a transformative economy built on economic stability.
The Prime Minister made these remarks while delivering a special address in Parliament during the debate on the 2027 Budget.
The Prime Minister highlighted that, for the first time in history, a substantial capital investment of over Rs. 749 billion has been allocated to the education sector for 2027. She further pointed out that this allocation represents more than 12 per cent of total government expenditure.
Emphasising further on the measures taken to strengthen the education sector, the Prime Minister stated that smart boards have been provided to more than 4,570 schools, while internet facilities have been extended to over 6,000 schools. She also noted that the curricula of National Colleges of Education, which had remained unchanged for 17 years, are currently being updated. Further, smart classrooms have been established at five additional National Colleges of Education, including the Maharagama National College of Education, with priority being given to teacher training.
The Prime Minister also rejected allegations that foreign direct investment (FDI) had declined to a record low in 2025. Referring to data covering the decade from 2016 to 2025, she stated that Sri Lanka had attracted approximately USD 1.4 billion in FDI in 2025, marking the highest FDI inflow recorded during the past ten years.
Presenting statistical evidence of the economic progress achieved by the Government over the past two years, the Prime Minister stated that the country had sustained an economic growth rate of 5 per cent in 2025. She noted that Sri Lanka had recorded a positive primary balance in 2025. Although the projected positive primary balance for 2026, according to the Budget, was Rs. 360 billion, it had increased to Rs. 1,844 billion by the end of September. She further stated that the central government debt, which stood at 114 per cent of Gross Domestic Product (GDP) at the end of 2022, had declined significantly by the end of 2025.
The Prime Minister also emphasised that the Government had succeeded in turning around 52 major State-Owned Enterprises (SOEs), which had collectively recorded a net loss of Rs. 74.6 billion in 2022, and bringing them into a profitable position. She further noted that the World Economic Forum had ranked Sri Lanka 10th among countries with the fastest-growing tourism economies.
Commenting on the public service, the Prime Minister stated that recruitment to the public sector had commenced under a transparent process based on merit, ensuring that the right person is appointed to the right position, without any political interference. Under this process, which had remained stalled since 2017, nearly 40,000 employees have already been recruited. She added that an environment has now been created in which public servants can perform their duties with dignity and confidence, free from political pressure.
Concluding her address, the Prime Minister stressed that criticism should be part of an informed and constructive dialogue based on facts and data. She invited all parties to set aside political differences and join the national effort to rebuild the country.
Prime Minister’s Media Division