President Anura Kumara Dissanayake has stated that the Government aims to reduce tax rates and provide relief to the public by lowering Value Added Tax (VAT) rates over the next two to three years.

The President made these remarks while attending a ceremony at Temple Trees this morning (08) to present appointment letters to 1,540 officers who qualified for Grade III of the Grama Niladhari Service.

President Dissanayake stated that the current Government’s economic and social development path is not about bringing rural communities to cities, but about creating economic opportunities and providing facilities within villages. 

He added that the Government’s objective is to establish a highly developed road network between villages and cities, a good communication system and an efficient and strong public service, according to a statement issued by the President’s Media Division (PMD).

The President also noted that the current Government is one that greatly respects the public service and expects public servants to be placed on a good salary scale. He added that this was why the Government took steps to increase basic salaries and allowances despite facing extremely challenging circumstances, the statement said.

Following the promulgation of the new Grama Niladhari Service Minute, appointment letters were presented to 1,540 officers selected for Grade III of the Grama Niladhari Service for the first time. Notably, these recruitments were carried out in accordance with the policy of recruiting qualified individuals to the public service based solely on examination results and merit at interviews.

The current Government has taken steps to re-establish the Grama Niladhari Service under a service structure unique to the position, with a distinct salary structure, while addressing a number of long-standing unresolved issues. 

As part of this process, steps were also taken to place the officers several salary increments above the salary they were receiving at the time and to adequately increase the allowances provided for various requirements.

The President symbolically presented appointment letters to the 28 candidates who secured first place at district level, the PMD said.

Speaking further, President Anura Kumara Dissanayake said;

“Today, you are entering one of the most important professions in Sri Lanka. If you ask which public official works most closely with the day-to-day lives of the people of our country, it is the Grama Niladhari officer. The relationship between the lives of ordinary people in a village and the State, as well as all services provided by the Government, is centred around the work of Grama Niladhari officers.

“You are important to us not merely as officers responsible for a village, but because of the economic and social vision we have developed. Every country in the world is now facing the challenges arising from high population concentrations in cities. This is an issue faced by both developed and developing countries. 

“When economic opportunities and services cannot be provided at the rural level, hundreds of thousands of people have left their villages and moved to cities. The translation of ‘The Grapes of Wrath’ illustrates very well how people living in remote areas, having lost their economic opportunities, faced immense hardships and migrated to cities. This is a challenge faced by many countries around the world today. 

“However, we are fortunate in this regard. The majority of our population still lives in rural areas. So, what should be our economic and social development path? It should certainly not be about bringing people living in rural areas to cities. It is now evident that this strategy has failed. 

“Therefore, our development path is not about bringing rural communities to cities, but about creating economic opportunities and providing facilities for people within their own villages.

“This requires a highly developed road network connecting villages and cities. We also need an effective communication system between villages and cities. To this end, we have discussed with the Ministry of Digital Economy and decided to establish a communication system covering the entire country within the next three years. 

“At the same time, services provided to rural communities must be delivered quickly and conveniently. Therefore, our objective is to enable people to remain in their villages while meeting their economic and social needs.

“Grama Niladhari officers will have a significant role to play in this process. In providing these services, the need for officers to visit households, as well as the need for citizens to travel to Grama Niladhari offices and wait for services, should be minimised. However, it is equally important to maintain a balance in the digitalisation process so that human relationships and human emotions are not undermined in any way.

“We also plan to divide public service functions into three categories and incorporate them into the digital system: functions that can be completed at Grama Niladhari level, functions that can be completed at the Divisional Secretariat based on certification provided by the Grama Niladhari and functions that can be carried out by other government institutions based on certification from both the Grama Niladhari and the Divisional Secretary. 

“The Ministry of Digital Economy and the Ministry of Public Administration have discussed the development of the digital system required for this purpose. We expect to allocate funds through the forthcoming Budget to commence this as a pilot project in two selected districts next year.

“At the same time, we need a strong public service. Every developed country in the world has progressed through a strong public service. However, today, both public servants and citizens who obtain public services are not in a state of satisfaction. There is competition within the public service over positions and offices. 

“The public service has also experienced a degree of decline due to outdated computers, old vehicles and dilapidated buildings. As a Government, we are taking steps to change this situation.

“We have identified the need for 1,750 vehicles (cabs) for the public service and are taking steps to provide the necessary vehicles promptly to officials, including Divisional Secretaries. The Ministry of Public Administration will take steps to provide the required number of computers and equipment for digitalisation. Government institution buildings must be renovated, while new buildings must also be provided. 

“Accordingly, we expect to allocate funds through the Budget to complete the third phase of Sethsiripaya and commence the fourth phase. At the same time, we must manage land properly. In this regard, I believe we need to change our preference for large buildings. 

“Therefore, a formal assessment is being carried out to determine the amount of space required for offices and the specified land requirements and the responsibility for providing office facilities has been assigned to the Chief of Presidential Staff.

“I acknowledge that the current salary scales in our public service are inadequate. As a result, there are difficulties in recruiting skilled professionals such as engineers, information technology specialists and legal officers into the public service. However, if the salaries of public servants are increased by Rs. 10, it would result in an additional monthly expenditure of Rs. 13 million, while an increase of Rs. 100 would result in an additional expenditure of Rs. 1.3 billion. 

“Therefore, we have identified the need to increase the efficiency of the public service while reducing its size. In doing so, we will by no means abandon the public service. It is our policy that the public service is essential and must be developed. However, we believe that the mechanism through which these services are delivered should be made smaller.

Accordingly, a committee chaired by the Prime Minister has planned to merge government institutions. A decision has been taken to close 33 institutions identified by the Ministry of Finance. We have decided to provide compensation for this purpose. A number of institutions that should be merged have also been identified. 

“The public service should not become a burden on the people. At the same time, we are a Government that recognises the need to provide the people with an efficient public service.

“Therefore, in order to manage the public service effectively, it needs to be made smaller. In order to bring in teams with strong skills and capabilities, they must be placed on appropriate salary scales.

“From our first Budget, we decided to increase the basic salaries of public servants in three stages. Accordingly, by 2027, we will bear an additional expenditure of Rs. 330 billion solely for salary increases. We should turn our attention to other allowances only thereafter. I believe that everyone should be treated fairly in this regard. We have provided a substantial increase in basic salaries. 

“We have also increased the allowances provided to Grama Niladhari officers. The office allowance has been increased from Rs. 1,000 to Rs. 2,000. The uniform allowance has been increased from Rs. 5,000 to Rs. 15,000. The allowance for purchasing stationery has been increased from Rs. 1,500 to Rs. 3,000.

“We will present the next Budget on 12 November. In that Budget, we will consider how to balance the Rs. 330 billion required for the increase in basic salaries in 2027. Only thereafter will we consider how much expenditure can be allocated for allowances. 

“I acknowledge that the public service should receive fair salaries. However, these salaries are paid from the taxes collected from the people. We are working towards reducing these tax rates. Our objective is to provide relief to the people by reducing Value Added Tax (VAT) rates over the next two to three years. 

“If a child has to pay a tax when purchasing a book to read, we should remove that tax. Expenditure must be managed in line with these objectives. We have provided a substantial increase in basic salaries. We have also increased allowances while listening to the concerns of public servants. 

“Therefore, let us act with an understanding of this situation. We have absolutely no intention of politicising the public service. We have a positive outlook for the future of this country and our public service has a major responsibility in achieving that vision.

“As a Government, we can formulate policies and have the Budget approved by Parliament. However, the responsibility for implementing the Government’s policy decisions down to the village level lies with the State Mechanism. This requires a strong public service.

“Those receiving appointments today will be the public officials closest to the people. In times of hardship or disaster, as well as at the birth of a child or at the time of a death, the first public official people turn to is the Grama Niladhari officer. 

“Therefore, Grama Niladhari officers establish a significant part of the State’s relationship with the people. You are therefore entering a profession that carries great honour and bears a major responsibility towards the people. I wish you success in your new professional lives, with the confidence that you will be able to rebuild the traditional, caring and respectful relationship that existed between the people of the village and the Grama Niladhari officer.”

Minister of Public Administration, Provincial Councils and Local Government Professor A.H.M.H. Abayarathna;

“This is the first group to join the Grama Niladhari Service following the establishment of a formal service minute for the Grama Niladhari Service last year. It is also another group recruited to the public service based solely on qualifications and merit. These two factors make today a historic day. 

“At a time when we are making a major effort to develop our country’s economy, this occasion can also be described as another step towards creating a more positive political culture.

“You are aware that this service has a long history dating back to the 4th century BC. You will therefore understand the importance and dignity of the Grama Niladhari Service within the public service. This era has created a special situation for us. Three or four years ago, the citizens of this country began to aspire towards a new system. They stood for a system change. 

“You are receiving these appointments at a time when the people have placed their hopes in that change and when your active contribution is needed to bring about the change they have long desired. You have been entrusted with a tremendous responsibility towards all citizens of this country. What you do and say today will become history in the future. Accordingly, this is also an era in which history is being rewritten.

“The people of our country have faced many difficulties. They shed blood and tears during the war. During the economic crisis, they even had to sacrifice their basic needs. You have been given an opportunity to fulfil a tremendous responsibility that goes beyond merely carrying out a duty or providing a service for such a people. We recently witnessed such an opportunity during the Ditwah disaster. While expressing our gratitude to those officers, I would also like to remind you that you should draw inspiration from their example.

“If there is to be a system change, we must first change ourselves. We must change individually. If you, who are receiving these appointments today, are able to bring the same happiness to your parents and loved ones on the day you retire as they experience today, you can be satisfied that you have fulfilled a social responsibility that goes beyond merely performing your official duties. 

“I call upon all of you receiving appointments today to dedicate your service towards building a Sri Lankan nation with a strong social foundation, as well as a strong economy.”

Deputy Minister of Provincial Councils and Local Government Ruwan Senarath and other Deputy Ministers, Governors and Chief Secretaries of the Provinces, Chief of Staff to the President Prabath Chandrakeerthi, Secretary to the Prime Minister Pradeep Saputhanthri, Secretaries to Ministries, including Secretary to the Ministry of Public Administration, Provincial Councils and Local Government S. Aloka Bandara, District Secretaries and a group of public officials also participated in the occasion.

--PMD--