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    Cabinet Decisions- 24.01.2022 Featured

    January 25, 2022

    Decisions taken at the meeting of the Cabinet of Ministers held on 24.01.2022

    01. Construction of Akuressa bus stand


    Akuressa urban development project has been inaugurated back in the year 2012 while preliminary
    activities for the construction and commercial development have been performed by developing an
    extent of 4.5 acres as phase one. Approval for the construction of the main bus stand / depot with
    20 terminals and other facilities has been granted as phase two of the project within an extent of
    1.75 acres of land. The Cabinet of Ministers approved the proposal submitted by the Hon. Prime
    Minister as the Minister of Urban Development and Housing for implementing the said project
    subject to an estimated cost of rupees 474 million according to the final architectural and
    engineering plans of the project within the period of year 2022 and 2023.

    02. Increasing the grant of ;Obata Geyak - Ratata Hetak' (A home for you - A future for the
    country) housing programme.


    An amount subject to a maximum of Rs. 600,000/- per selected beneficiary family is granted
    under this project based on the construction progress of the house under this project implemented
    for low income families resided in temporary houses. Followed by the inauguration of the project
    in the year 2020, cost of construction materials have been escalated by multiple amounts and due
    to this it has been difficult to construct an appropriate complete house with the grant of Rs.
    600,000/=. Therefore, the Cabinet of Ministers has decided to grant their approval to the proposal
    submitted by the Hon. Prime Minister as the Minister of Urban Development and Housing for
    increasing the amount of grant paid under the programme to the selected beneficiary families up to
    Rs. 650,000/- with effect from the year 2022.

    03. Implementation of a High - rise development project within the land situated in Kotta Road,
    Rajagiriya belong to the Urban Development Authority.


    Investment proposals on competitive basis have been invited for the plot of land in extent 01 acre
    01 rood and 9.29 perches situated at Kotta Road Rajagiriya which is entrusted to the Urban
    Development Authority under the methodology of design, construction, financing monitoring and
    transferring. The Cabinet of Ministers has decided to grant their approval to the proposal submitted
    by the Hon. Prime Minister as the Minister of Urban Development and Housing for engaging the
    said land for the said purpose subject to the recommendations furnished by the Cabinet Standing
    Review Committee under the State Ministry of Urban Development, Waste Disposal and
    Community Cleanliness and the management board of the Urban Development Authority to LOLC
    Investment Holdings Two (Pvt.) Ltd. which is a subsidiary company of Lanka Orex Leasing
    Private Limited on long term lease basis.

    04. Entrusting the health institutions within the estate sector to provincial health authorities.


    It has been recognized that entrusting the health institutions existing within the estate sector to
    provincial authorities is appropriate with the objective of supplying a more productive health
    service to the estate community. Accordingly, a committee comprised of officers chaired by the
    Director General of Health Services and representations from other relevant institutions has been
    appointed to submit recommendations on the methodologies to be followed in the regard.
    According to the recommendations submitted by the said committee comprised of officers the
    Cabinet of Ministers approved the resolution furnished by the Minister of Health to transfer 59
    health institutions to provincial health authorities under stage one from 450 health institutions
    extisting within the estate sector.

    05. Sri Lanka's national policy on transplantation of organs, cells and tissues.


    Transplantation of organs, cells and tissues is considered as a successful methodology to secure
    lives of patients at the final stage of disfunction of internal organs such as kidneys, liver, heart,
    lungs and pancreas. These organ trnasplanting surgeries is taken place in 09 government hospitals
    including two major national centres in Colombo and Kandy in Sri Lanka. The requirement of a
    national policy on organ transplant has been recognized for upgrading the living standard and
    securing rights of donors and their families as well as the donees of organs. Accordingly, the
    national policy on transplantation of organs, cells and tissues in Sri Lanka has been prepared
    followed by the convention 57 of World Health Summit and the guideline theories of the World
    Health Organization (WHO) on human organ transplant. the Cabinet of Ministers approved the
    resolution submitted by the Minister of Health for implementing the said prolicy.

    6. National Policy on Quality and Safety of the Health Service


    The "National Policy on Quality Healthcare and Patient Safety" approved by the Cabinet on 27
    May 2015 is currently in effect. Action has been taken to revise this policy based on the resolution
    adopted at the 72nd World Health Assembly in 2019 on the “Global Action on Patient Safety”.
    Accordingly Cabinet of Ministers approved the proposal presented by the Minister of Health to
    implement implement the revised policy which guarantees the quality and safety of the health care
    system in Sri Lanka.

    7. National Project to Provide Investment Opportunities to New Entrepreneurs for Business
    Development and the Establishment of small and medium scale industrial zones at regional
    and district level.


    The Budget 2022 proposes to accelerate the local industrialization process by localizing the existing
    industrialization program and establishing industrial zones at the regional and district levels.
    Accordingly, the Ministry of Industry has designed a program. Under this, it is expected to establish

    two types of industrial estates based on the land areas identified at the district / divisional secretariat
    level. It is proposed to construct a small scale industrial zones with about 15-35 factories on a 5-15
    acre plot and a medium scale industrial zones with about 35-50 factories on 15-25 acre lands. A
    National Committee and a District Steering Committee will be appointed in collaboration with the
    Ministry of Industries to implement and supervise these projects. Accordingly cabinet of Ministers
    approved the proposal presented by the Minister of Industries to implement the proposed project.

     


    8. Paddy Purchase Program for 2021/2022 Maha Season


    It is planned to implement the Government Paddy Purchase Program during the 2021/2022 Maha
    Season with the objective of providing a fair price for the paddy harvest of the farmers and
    maintaining a secure paddy reserve by the Government. The purchase of the paddy harvest is done
    directly by the Paddy Marketing Board and by the District Secretaries / Government Agents
    through the small and medium scale paddy mill owners. The required allocation of Rs.29,805
    million will be secured through state banks. Accordingly, taking into consideration the proposals
    made by the Minister of Agriculture, the Cabinet took the following decisions.
    i. Purchase of Paddy by the Paddy Marketing Board at competitive prices with the Private
    Sector under the Government Paddy Purchase Program for the Maha Season 2021/2022
    ii. In case, there is a reduction in the paddy harvest in the 2021/2022 Maha season, to
    provide a compensation of Rs. 25 per 1 kg of paddy to secure the income level of the paddy
    farmers affected due to this.

     

    9. Purchase of locally produced Sterile Liquid Small Volume Parenteral – SLSVP Injectable for
    Public Sector


    The government spends approximately Rs. 3,000 million (approximately USD 15 million) annually
    to purchase Sterile Liquid Small Volume Parenteral – SLSVP Injectables. The government
    approval has been granted to Cologne Life Sciences (Pvt) Ltd to set up a factory in Pallekele with
    an annual production capacity of about 50 million of these injections. The only company that has an
    ability to manufacture Sterile Liquid Small Volume Parenterals in Sri Lanka with the relevant
    standards is ready to supply its products from February 2022. Accordingly the cabinet of Ministers
    approved the proposal presented by the Minister of Health to enter into an agreement between the
    company and the State Pharmaceutical Corporation to procure the said products for the needs of the
    public sector.

     

    10. Amendment of Drug dependent persons (Treatment and Rehabilitation) Act No 54 of 2007


    Amendment of Drug dependent persons (Treatment and Rehabilitation) Act No 54 of 2007 contains
    provisions for the treatment and rehabilitation of drug addicts. It has been identified that the
    provisions of that Act should be amended to suit the present requirements. Accordingly, the cabinet
    of Ministers approved the joint proposal presented by H.E. the President in his capacity as the
    Minister of Defense and the Minister of Justice to advise the legal draftsman to prepare the
    respective Bill.

    11. Prevention of double taxation on income tax and avoid tax evasion.


    The Government of the Democratic Socialist Republic of Sri Lanka has reached the following
    agreements.
    i. Signing the Alliance for the Agreement with the Government of the Republic of
    India to Avoid Double Taxation and Tax evasion on Income Tax
    ii. Signing of an Agreement with the Government of the Republic of Turkey on the
    Prevention of Double Taxation and Tax evasion on Income Tax
    iii. Signing an agreement with the Government of the Czech Republic to prevent double
    taxation and Tax evasion on Income Tax
    Accordingly, the Cabinet of Ministers approved the proposal presented by the Hon. Minister of
    Finance to sign the said Agreements and to submit the aforesaid agreements to Parliament for
    approval as per the provisions of the Inland Revenue Act No. 24 of 2017.

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