Advocata Institute welcomes free visa entry expansion, calls for long-term liberalisation and policy stability

Originally appeared in the Daily FT

The Advocata Institute, while welcoming the Government’s recent decision to waive visa fees for tourists from 40 additional countries, called for broader liberalisation of the visa regime to fully unlock economic opportunities through tourism.

Sri Lanka is currently aiming for 3 million tourist arrivals and $ 5 billion in revenue this year. Advocata believes that open, clear, and consistentw visa policies, combined with a welcoming environment, investment-friendly regulation, and high-value targeting, will be essential to achieving that goal.

“This is a step in the right direction,” Advocata Institute CEO Dhananath Fernando said. “Tourism is one of the few sectors in Sri Lanka with immediate job-creating potential and strong multiplier effects across the economy. Reducing barriers to entry – even something as simple as waiving a fee – can go a long way in making Sri Lanka more attractive as a destination.”  The Institute emphasised that this should not be a one-off gesture, but the start of a broader liberalisation agenda. Advocata called for Sri Lanka to work towards reverting to at least its pre-2012 visa regime, under which 84 countries were eligible for visas on arrival, without needing to apply for electronic travel authorisation (ETA) in advance. This system was more consistent, easier for travellers, and better aligned with international best practices.

Advocata recommends that Sri Lanka introduce visa-on-arrival access for travellers who hold valid multiple-entry visas to high-screening countries, such as the US, the EU, the UK, or Australia. These travellers have already undergone extensive vetting and, in many cases, are eligible to enter more than 50 countries visa-free based on their existing travel history.

Additionally, the Institute suggested exploring the introduction of a two-year, renewable visa-on-arrival for citizens or permanent residents of countries with per capita incomes at least four times that of Sri Lanka. This would encourage long-stay travel, remote/nomad work, and academic or business exchange from high-income countries—contributing to knowledge transfer, professional networking, and investment.

Advocata also highlighted the importance of visa policy consistency and better user experience. Sri Lanka’s visa regime has undergone several abrupt changes over the past decade, contributing to confusion among both tourists and travel agents. While visa fees may be waived, tourists are still required to apply online for an ETA, a process that often results in credit card payment issues (for those from countries that do not have the fee waiver) and poor usability.

While the removal of visa fees is a welcome reform, Advocata cautions that this alone is not enough to ensure tourism success. Sri Lanka must also tackle the deeper structural issues in the sector. This includes attracting higher-spending tourists through well-targeted global marketing campaigns, and creating the right investment climate to bring in the infrastructure and innovation needed for long-term growth.

Correlation of Nighttime Lights and Economic Indicators in Sri Lanka

Economic and poverty indicators collected via surveys can have long lag times before they are available for policy consumption. In developing and least developed countries, these surveys are also sparsely conducted. Studies have shown that nighttime light (NTL) data might be usable as a proxy for certain economic indicators. NTL is available daily, and is obtainable at a very low cost.

To access the Correlation of Nighttime Lights and Economic Indicators in Sri Lanka report, click below

Advocata Institute urges Govt. to uphold electricity sector reforms

Originally appeared in the Daily FT

The Advocata Institute yesterday called on the Government to reaffirm its commitment to the critical reforms initiated by the 2024 Electricity Act.

The think tank emphasised the necessity of legally separating the Ceylon Electricity Board’s (CEB) functions and fostering a competitive and transparent electricity industry.

“The 2024 Electricity Act was a landmark step towards a more efficient and accountable energy sector,” said Advocata Institute CEO Dhananath Fernando. “Sri Lanka cannot afford to fall back into a monopoly-driven model at a time when attracting private capital and enhancing efficiency are critical to economic recovery and energy security.”

In its newly released paper, “Powering Forward: Why Unbundling the CEB is Critical for Sri Lanka’s Energy Future,” Advocata warns that proposed amendments to the 2024 Electricity Act threaten to reverse decades of progress in the sector. The Institute states that such reversals could severely undermine Sri Lanka’s economic and fiscal stability.

The paper critiques some of the 2025 amendments to the Sri Lanka Electricity Act, which seek to reconsolidate the CEB by placing generation, transmission, and distribution under 100% State control. Advocata argues that this reversal would entrench inefficiencies, deter private investment, and further strain already constrained public finances.

The position paper outlines three key reasons for why Sri Lanka should reconsider reconsolidating generation, transmission, and distribution under 100% State control.

Bullets

• Sri Lanka’s challenges demand private capital: Continued reliance on public financing to cover the CEB’s losses and infrastructure needs is fiscally unsustainable. Circular debt, State guarantees, and legacy liabilities already burden the Treasury, threatening Sri Lanka’s ability to maintain its primary surplus and meet International Monetary Fund (IMF) commitments. They also undermine the country’s creditworthiness, limiting access to capital markets and affordable borrowing. Unbundling the electricity sector can help address this by creating a range of investment opportunities, allowing private investors to engage in specific segments that align with their risk-return preferences.

• Unbundling the electricity industry has economic merit: Drawing on some global examples, the paper demonstrates how unbundling has improved operational efficiency, transparency, and service delivery, particularly when supported by competitive tendering and strong regulatory oversight.

• Strategic interests can be protected without full State ownership: Global and local experience show that strategic assets in generation, transmission, and distribution can be safeguarded through strong regulation, public-private partnerships, and majority State ownership, without full State monopolisation. The paper highlights the case of Lanka Electricity Company (LECO), a publicly owned but commercially governed distributor that has consistently delivered operational efficiency and innovation due to competitive pressures. Rather than dismantling LECO and absorbing it into a centralised, 100% State-owned entity (as proposed), the paper argues that this successful model should be replicated and scaled.

The full position paper is available for download at: https://shorturl.at/Bijus

(https://www.advocata.org/media-archives/2025/07/09powering-forward-why-unbundling-the-ceb-is-critical-for-sri-lankas-energy-future).

Powering Forward: Why Unbundling the CEB is Critical for Sri Lanka’s Energy Future

Sri Lanka’s electricity sector has long suffered from inefficiencies and financial losses due to the centralized, state-dominated structure of the Ceylon Electricity Board (CEB). After several attempts to reform the sector over the years, the Sri Lanka Electricity Act, No. 36 of 2024 sought to address these inefficiencies by unbundling the CEB into 12 entities, opening more space for private investment and effective regulation.

To access the Powering Forward: Why Unbundling the CEB is Critical for Sri Lanka’s Energy Future Position Paper, click below

Fix flawed Gambling Bill or lose out to rivals, Advocata tells government

Originally appeared in the Daily Mirror

The Advocata Institute, a Colombo-based independent think tank, is urging the Sri Lankan government to withdraw and redraft the proposed Gambling Regulatory Authority Bill, warning that its current form grants “excessive and unchecked powers” to the Minister of Finance, creating a “proxy” regulator instead of an independent body essential for the industry’s integrity and growth.

The call for a complete overhaul comes at a critical time for Sri Lanka’s gaming industry. A comprehensive 2024 report by Advocata highlighted the nation’s unique position as one of only two South Asian countries with legal inland casinos, giving it a significant advantage in attracting patrons from India, China, and the Middle East. However, the report also issued a stark warning that this window of opportunity is closing fast due to increasing competition.

The United Arab Emirates (UAE) and Thailand, both of which have historically opposed gaming, are now rapidly moving to develop their own gaming industries. The UAE has already established a Commercial Gaming Regulatory Authority and greenlit plans for an integrated resort by US-based Wynn Resorts, a move that could substantially impact demand from Sri Lanka’s key patrons.

“If the government of Sri Lanka fails to act quickly, there is a real possibility that other countries will take Sri Lanka’s place in the regional gaming market,” the report stated.

“The independence of a regulatory body is non-negotiable,” said Sudaraka Ariyaratne, a research consultant at Advocata.

“Without it, we risk creating a framework that lacks credibility, is vulnerable to political interference, and cannot deliver on its mandate.”

Advocata argues that the bill is fundamentally flawed, citing several critical deficiencies that extend beyond the lack of independence.

The draft bill overlooks key industry segments by exempting state-run Lotteries Board from oversight and failing to sufficiently regulate the burgeoning online gambling sector. The exemption for the National and Development Lotteries Boards is particularly concerning from an equity standpoint. Advocata’s research points out that the government’s current fiscal policy is regressive, relying heavily on lotteries

A form of gambling patronized disproportionately by lower-income households while the progressive potential of taxing the casino industry, which caters to wealthier clientele, remains untapped.

Other major weaknesses identified include lack of tourism sector input, as the bill fails to include any ex-officio representation from the Sri Lanka Tourism Development Authority (SLTDA), despite the strong link between gaming and tourism.

Further, the proposed authority lacks a mechanism to trace operator revenues, leaving significant room for underreporting and tax revenue leakage in the cash-based industry.

Fines for violations are as low as Rs. 100,000 for most offenses, a penalty considered “grossly inadequate” for a billion-rupee industry and an ineffective deterrent against wrongdoing.

In its call for a redrafted bill, Advocata emphasizes the need to incorporate international best practices and a clear strategic vision for the industry’s growth. The institute stresses that the primary economic benefits lie in promoting the IRs, which combine casinos with hotels, MICE (Meetings, Incentives, Conferences, and Exhibitions) facilities, shopping, and entertainment, have a proven multiplier effect on tourism and foreign exchange earnings. The upcoming City of Dreams project by JKH is cited as the type of investment that the regulatory framework should be designed to attract.

To ensure integrity and proper revenue collection, the reports suggest specific, practical solutions missing from the current bill, including that the authority should be empowered to license key casino employees, such as dealers and managers, following criminal and financial background checks to prevent corruption.

It also recommends that until a foolproof system for tracing gross gaming revenue is in place, Advocata recommends taxing operators based on their gaming capacity, such as a fixed fee per table and slot machine, to ensure a stable and fair revenue stream for the state.

Powering Reform: Why Electricity Tariffs Must Be Rewired for Sri Lanka’s Future

Sri Lanka’s electricity tariffs have never made much economic sense. They’re full of distortions, cross-subsidies and based on outdated assumptions. This is why the Advocata Institute recently made a formal submission to the Public Utilities Commission of Sri Lanka (PUCSL), proposing a complete overhaul of the way electricity is priced.

To access the Powering Reform: Why Electricity Tariffs Must Be Rewired for Sri Lanka’s Future Oped, click below

To access the Powering Reform: Why Electricity Tariffs Must Be Rewired for Sri Lanka’s Future Oped in Sinhala, click below

Reforming Sri Lanka’s Electricity Tariffs: Principles for a Sustainable Future

The proposed reforms present an opportunity to rationalise the tariff structure. Consumers using the same commodity under similar conditions should pay comparable rates, with only one justified differentiation: a lifeline tariff for low-income domestic users. This principle supports equity while ensuring cost recovery.

To access the Reforming Sri Lanka’s Electricity Tariffs document, click below

Women's Day Policy Brief

In 2023, Sri Lanka’s women’s participation in the labour force stood at 31.3%. Historically, female labour force participation has remained below 50%, running between 30-36% for the past few decades. This is in stark contrast to male labour force participation rates, which in 2023 stood at 68.6%.

To access the Women’s Day Policy Brief, click below

IMPROVING ELECTRICITY CONSUMPTION BASED TARGETING FOR SOCIAL PROTECTION VIA THE USE OF COMPOSITE VARIABLES

This research explores innovative methods to improve the targeting of social protection programs in Sri Lanka by combining electricity consumption with composite variables such as household expenditure and food expenditure. Amidst a severe economic crisis exacerbated by the COVID-19 pandemic, the study highlights the inefficiencies of existing welfare programs like Samurdhi and Aswasuma, which often fail to reach the most vulnerable populations. By leveraging electricity consumption as a reliable and accessible indicator, and integrating it with additional variables, the research demonstrates significant improvements in targeting accuracy. The findings reveal that using these composite variables can increase coverage in the lowest income deciles by up to 8.3%, ensuring that social protection benefits reach those who need them most. This study advocates for the adoption of these enhanced targeting methods to create more effective and equitable social welfare systems in Sri Lanka.

Here is the link to the full report

Musings on the budget, unsolicited advice on fiscal policy : Murtaza Jafferjee

Navigate the complexities of economic policy in our exclusive Zoom webinar. Join Murtaza Jafferjee (Chair Advocata Institute) as he deconstructs critical fiscal misconceptions and provides strategic insights into:

• Balance of payments dynamics

• Tax policy intricacies

• Economic impact of sectoral taxation

• VAT exemptions and strategic thresholds

Demystifying economic myths with expert analysis

Impact of Anti-Competitive Practices in the Construction Industry on Affordable Housing in Urban Sri Lanka

The Universal Declaration of Human Rights in 1948 and the International Covenant on Economic, Social and Cultural Rights in 1966 recognized access to housing as a fundamental human right. This right implies that the government is responsible for ensuring access to a safe, secure, habitable, and affordable home for all citizens. The right to adequate housing was an important element of the United Nations Millennium Development Goals. It also forms a key pillar in the United Nations’ 2030 Agenda for Sustainable Development; Sustainable Development Goal (SDG) 11 targets access for all

to adequate, safe and affordable housing and basic services (OHCHR, n.d.). Despite these declarations and goals, the supply of affordable housing has not kept up with demand from population growth, urbanization, and migration. UN Habitat estimates that by 2030, 3billion people or about 40% of the world’s population will require access to adequate housing. Thisn umber is equivalent to providing 96,000 affordable housing units every day (UN, 2019)

Here is the link to the full report:

Advocata commends Govt.’s targeted support in purchasing school stationery for vulnerable families

Originally appeared in the Daily FT

Urges Govt. to consider similar targeted interventions over VAT exemptions on various goods and services

The Advocata Institute has applauded the recent policy action by the Government to provide a cash transfer of Rs. 6,000 to school children from vulnerable groups to assist them in purchasing school stationery for the upcoming 2025 academic year.

“This policy move reflects a thoughtful and impactful approach to addressing pressing social challenges without compromising Sri Lanka’s fiscal sustainability,” Advocata said in a statement.

The proposed cash transfer program through the Ministry of Education and the Welfare Benefits Board stands out as a more equitable alternative compared to measures such as reducing or exempting value-added tax (VAT) on school books and stationery. While VAT exemptions on education materials might seem appealing, they are not targeted and hence can disproportionately benefit high-income households. High-income households, with greater purchasing power are more likely to purchase larger quantities or more expensive educational materials, amplifying their benefit from such exemptions. In contrast, vulnerable groups, including low-income households, often prioritise essentials such as food, housing, and healthcare, leaving little capacity to purchase additional educational materials even with reduced tax rates.

Advocata said VAT exemptions or reductions, which lower the cost of selected items can also create distortionary effects on market prices by altering consumer behaviour. It can reduce demand for close substitutes that are not exempt, making it harder for businesses offering these alternatives to compete, creating inefficiencies in the market. Additionally, businesses may not always pass on the benefit of VAT removal to customers, choosing to keep the added margin to themselves. Targeted cash transfers, however, ensure that resources are allocated efficiently and directly to those who need them most, empowering vulnerable families to meet their specific educational needs without unintended market disruptions.

Advocata also opined that Sri Lanka’s economic crisis increased the cost of education material. A survey on the household impact of the economic crisis in 2023 conducted by the Department of Census and Statistics revealed that a large number of school children in rural and estate regions have faced significant setbacks in their education owing to the economic crisis, where 53.2% of affected children have reduced or stopped purchasing school stationary, while 26.1% have resorted to reusing old stationery. In light of this, the cash transfer to purchase education material will provide immediate relief to those struggling to meet their children’s immediate education needs, which can otherwise be a barrier to school attendance and performance.

Thus, it will help address socioeconomic disparities without disrupting the Government’s revenue flow to maintain essential public services, especially in light of the IMF’s stabilisation program’s requirements for the authorities to raise the tax to GDP ratio to 14% by 2026. Given that access to education is a fundamental right, the cash transfer will help ensure that no child is left behind due to financial difficulties.

With the exception of essential items like food, the Advocata Institute urges the Government to consider similar targeted interventions over VAT exemptions on various goods and services. Direct cash transfers effectively mitigate the regressive impact of VAT by directing assistance to those most in need, allowing them the flexibility to allocate funds according to their specific circumstances and priorities.

Land Expropriation Policy Brief

Land expropriation in Sri Lanka, governed by the Land Acquisition Act, plays a key role in public welfare and infrastructure development. However, three critical challenges persist: vague criteria for urgent acquisitions, a subjective definition of "public purpose," and delays or inadequacies in compensation for affected landowners. These issues raise concerns about fairness, transparency, and the potential misuse of power. To address these, our policy briefs provide in-depth insights and actionable recommendations for reform.

To access the Land Expropriation Policy Briefs, click below

New era of hope and responsibility

By Dhananath Fernando

Originally appeared in the Daily FT

The resounding victory of the National People’s Power (NPP) marks the beginning of a new chapter in Sri Lanka’s history. For decades, citizens have watched as promises made by the political elite faded into disappointment. This election is a clear message: the people demand change. With 159 seats in Parliament and a two-thirds majority, the NPP has been given an unparalleled mandate to deliver a Government that is clean, transparent, and accountable.

The NPP’s historic Parliamentary victory was made possible by a significant swing in voting after the Presidential election. While the NPP candidate secured only 42.31% of the vote in the Presidential race, this surged to 61.56% in the Parliamentary election. A key factor behind this shift was growing public confidence in the NPP’s ability to stabilise the economy, continuation of debt restructuring and continue the reforms initiated under the IMF program. For a country emerging from a severe economic crisis, maintaining this momentum is crucial. Economic recovery requires sustained reforms, fiscal discipline, and a commitment to fostering growth while protecting the most vulnerable. The NPP now has both the mandate and the responsibility to prioritise these efforts, ensuring that Sri Lanka’s hard-won stability leads to long-term prosperity.

Government that serves its people rather than itself

This victory is more than just a win for the NPP. It is a victory for values that people have come to associate with the NPP; of honesty and of a Government that serves its people rather than itself. The old political culture, rife with corruption and cronyism, has been decisively rejected.

While the NPP now has the authority to make sweeping changes, it also carries a heavy obligation: to ensure that this power is not abused. History shows us that unchecked power, no matter how well-intentioned, can lead to dangerous consequences. This is why the principle of separation of powers is so important.

The separation of powers means that no single branch of Government—whether the President, the Parliament, or the Judiciary—should have unchecked authority. Each branch should act as a check on the other, ensuring that decisions are made with careful thought and accountability. Unfortunately, Sri Lanka’s Constitution places extraordinary power in the hands of the President, disrupting this balance. A two-thirds majority in Parliament further concentrates power, making it even more critical to establish safeguards.

As James Madison, one of the great thinkers behind modern democracy, once said: “If men were angels, no government would be necessary. If angels governed men, no checks would be needed. But because governments are made up of people, we must create systems that control the government itself.”

This wisdom reminds us that even the best leaders are human. Without proper restraints, even well-meaning governments can falter. Checks and balances between the executive and the legislature, an independent judiciary and the active participation of civil society are all essential to ensure that power is used wisely.

Opportunity to rewrite the rules of Sri Lanka’s political game

The foundation of the separation of powers is found within the constitution. The NPP has a golden opportunity to rewrite the rules of Sri Lanka’s political game to ensure accountability and justice for generations to come. This means not merely abolishing the Presidency but a new constitution based on Westminster principles that restores the balance between the executive, legislature and the judiciary. This is what the call for “system change”, embodies; not merely a change in the personalities in power but a fundamental change in the way politics is done.

Persson, Roland and Tabellini point out that “Political constitutions are incomplete contracts and therefore leave room for abuse of power. In democracies, elections are the primary mechanism for disciplining public officials, but they are not sufficient. Separation of powers between executive and legislative bodies also helps to prevent the abuse of power, but only with appropriate checks and balances. Checks and balances work by creating a conflict of interest between the executive and the legislature, yet requiring both bodies to agree on public policy. In this way, the two bodies discipline each other to the voters’ advantage. Under appropriate checks and balances, separation of powers also helps the voters elicit information.”

This moment is not just about the NPP; it is about us, the people. As citizens, we must remain vigilant, engaged, and vocal. A true democracy requires not only strong leaders but also an active and informed population. Together, we can build a Sri Lanka that lives up to the ideals of justice, equality, and freedom.

Let us celebrate this victory with hope but also with a clear understanding of the work ahead. The NPP has promised a new political culture. Now is the time to make it a reality—one rooted in accountability, justice and the enduring principle that no one is above the law.

Advocata Institute congratulates President Anura Kumara Dissanayake

Originally appeared in the Daily FT

The Advocata Institute has extended its heartfelt congratulations to President Anura Kumara Dissanayake on his election as the ninth Executive President of the Democratic Socialist Republic of Sri Lanka.

In a message addressed to the President, Advocata Institute Chairman Murtaza Jafferjee and CEO Dhananath Fernando acknowledged the trust and confidence placed in President Dissanayake by the people of Sri Lanka.

They expressed optimism that his leadership will guide the country towards a more prosperous and equitable future.

“As an independent policy think tank committed to advancing economic freedoms and improving the well-being of Sri Lankans through economic prosperity, we believe your tenure offers a unique opportunity to pursue meaningful reforms that will continue economic stability, promote sustainable growth, enhance governance, and uplift the living standards of all citizens,” Jafferjee said.

The Advocata Institute also emphasised its readiness to support the new administration with its expertise in economic research and public policy, highlighting the power of evidence-based policymaking in driving positive change.

“We look forward to collaborating with your Government on initiatives that foster an open and thriving economy,” said Fernando, expressing the organisation’s commitment to the principles of economic freedom and innovation as drivers of national prosperity.

Advocata SOE Briefing Note : Getting the State Out of Business: The Compelling Case for Privatisation of State-Owned Businesse

Sri Lanka's state-owned enterprises (SOEs) are a major hindrance to the country’s economic prosperity. The state's footprints extend across all major industries - telecommunications, banking, ports, petroleum, and power generation. With over 400 SOEs spread across 33 sectors and employing roughly 250,000 workers, they form an inefficient, bloated bureaucracy. The IMF's Governance Diagnostic Assessment flags SOEs as being high-risk for corruption, plagued by weak management, shoddy oversight, rigged procurement processes, political interference, and a lack of transparency. Sri Lanka cannot afford the status quo. Decisive action to privatise SOEs is essential to break free from the cycle of inefficiency and corruption, and unlock sustainable economic growth.

Here is the link to the Advocata SOE Briefing Note in English on

Getting the State Out of Business: The Compelling Case for Privatisation of State-Owned Businesses

Here is the link to the Advocata SOE Briefing Note in Sinhala

Here is the link to the Advocata SOE Briefing Note in Tamil

THE STATE OF STATE ENTERPRISES IN SRI LANKA – 2022

As a group, these SOEs have suffered large losses that have contributed to the present macroeconomic problems facing the country. The state has to make good on these losses, increasing public deficits that have to be financed by borrowing from the Central Bank, has exacerbated this issue further, which has brought high inflationary pressures into the economy. Losses of these enterprises contribute to macroeconomic instability given the perilous state of our overall finances. The Ceylon Petroleum Corporation, Ceylon Electricity Board and SriLankan Airlines need immediate reform or sale to a private party to arrest the growing magnitude of this problem. Previous attempts to address this problem have attracted controversy. Our general population is not prepared to allow disposal of enterprises despite their record of making large losses year after year. Apart from the macroeconomic problem, the country has a large productivity and efficiency problem that requires more resources to keep growing even at the same rate given that productivity and efficiency issues have not been addressed adequately.

Advocata's 2022 Report "State of State Owned Enterprises 2022 " is a deep dive on the impact of State Owned Enterprises, on Sri Lanka's economy.

A Comprehensive Policy Framework for the Gaming Industry of Sri Lanka

The gaming industry of Sri Lanka includes casinos, betting centers, and lotteries. The casino industry emerged in 1977 following the open economy policy. The government has reluctantly acknowledged casinos as part of economic development, but public perceptions of the industry's integrity remains low due to the lack of proper regulation. The betting and lottery industries have operated for longer with varying degrees of oversight, with the lottery industry being exclusively state-operated. The report provides a SWOT analysis of the industry, highlighting strengths such as the legal status for inland casinos and a reliable patron base. However, the growth of the industry is stunted by lack of regulatory oversight and the limited focus so far on the integrated resort model.
Here is the link to the full report:

Advocata SOE Reform Roadmap : Getting the State Out of Business: The Compelling Case for Privatisation of State-Owned Businesses

Sri Lanka's state-owned enterprises (SOEs) are a major hindrance to the country’s economic prosperity. The state's footprints extend across all major industries - telecommunications, banking, ports, petroleum, and power generation. With over 400 SOEs spread across 33 sectors and employing roughly 250,000 workers, they form an inefficient, bloated bureaucracy. The IMF's Governance Diagnostic Assessment flags SOEs as being high-risk for corruption, plagued by weak management, shoddy oversight, rigged procurement processes, political interference, and a lack of transparency. Sri Lanka cannot afford the status quo. Decisive action to privatise SOEs is essential to break free from the cycle of inefficiency and corruption, and unlock sustainable economic growth.

Here is the link to the Advocata SOE Reform Roadmap in English on

Getting the State Out of Business: The Compelling Case for Privatisation of State-Owned Businesses

Here is the link to the Advocata SOE Reform Roadmap in Sinhala

Here is the link to the Advocata SOE Reform Roadmap in Tamil

Advocata Policy Brief : The Role of Public Private Partnerships (PPPs) as a Sustainable Alternative to Public Infrastructure Investments in Sri Lanka

The Budget Speech 2024 revealed that Sri Lanka plans to accelerate Public Private Partnerships (PPPs) to secure the required investments and expertise to facilitate continued provision of much needed public infrastructure projects across the country. Against the backdrop of Sri Lanka’s efforts to come out of its current economic crisis, which was largely caused by the mismanagement of public finances and unsustainable levels of national debt - partly taken to fund large scale public infrastructure projects, this indication to involve the private sector in public infrastructure service provision going forward is a positive and sustainable sign.

However, the PPP framework in Sri Lanka at present is characterised by multiple institutional and regulatory weaknesses, which should be resolved before PPPs can fully serve to facilitate sustainable infrastructure investments in the country.

Here is the link to the Advocata Policy Brief on The Role of Public Private Partnerships (PPPs) as a Sustainable Alternative to Public Infrastructure Investments in Sri Lanka