Active Liability Management Bill passed with amendments

The Active Liability Management Bill was passed in parliament with amendments today (23).

Earlier, the Parliament was adjourned for 10 minutes due to a technical failure during voting on the Active Liability Management Bill. 

The Government postponed the second reading debate of the Active Liability Management Bill which was scheduled for debate yesterday (22). 

Accordingly, the Bill was taken up for debate today (23) at the parliament.

The Government presented the Active Liability Management Bill for the first reading on 19 February to authorise the raising of loans in or outside Sri Lanka for the purpose of Active Liability Management to improve public debt management in Sri Lanka and to make provisions for matters connected therewith or incidental thereto.

The objective of this Act shall be to manage public debt to ensure the financing needs and payment obligations of the Government are met at the lowest possible cost over the medium to long term consistent with a prudent degree of risk. 

MP Bandula Gunawardene has petitioned the Supreme Court alleging that this Bill undermines the authority of parliament over financial matters, undermines the Central Bank’s management of public debt and vests the executive arm with unrestricted power in utilising the money borrowed.