May 16, 2020

Govt April income not enough to pay salaries Featured

The total government revenue fell drastically to Rs.64 billion in April, the media reports.

On average, the government earns between Rs.150 to 160 billion  a month.

The biggest drop in revenue in April was reportedly due to the loss of income from VAT, income tax and anticipated customs duties and excise duties, reports say.

This state income is not even enough to pay the salaries of state employees.

The government's monthly salary bill is about Rs.72 billion.

In addition, the government is also spending Rs.8 billion to pay salaries of the institutions that currently do not generate revenue such as Sri Lanka Transport Board, Department of Railways and Zoological Gardens.

Taken together, the monthly salary bill is Rs. 80 billion where as revenue is limited to Rs.64 billion.