Govt revenue up in first five months [August 22 2011]

By Uditha KUMARASINGHE

With the revival of the economy after ending of the terrorist insurgency coupled with the expansion in the international trade related activities, the government revenue has grown by 19.8% in the first five months of 2011 with tax revenue recording an increase of 23.8% compared to the same period of 2010. According to Mid Year Fiscal Position Report 2011 the government had been able to mobilize US$ 382.5 million as gross project loans from Jan to Apr 2011.

Meanwhile, the revenue collected from import duties during the first five months of 2011 has been increased by 43% to Rs.30,098 million, compared to the corresponding period of 2010. The increase in motor vehicle imports was the major contributory factor for this increase. The import duty on petroleum products and milk powder imports was removed completely during this period to quell the increase in their domestic prices.