1. A Y U B O W A N

2. Sri Lanka Country Report
Colombo
Sri Lanka is an island located in the Indian Ocean at the Southern tip of the Indian Subcontinent. Capital City is Colombo with about 1 mn population. Climate is tropical.

3. National Development Priorities for Poverty Reduction
By Nadika Amaratunga Assistant Director , Department of National Planning
Ministry of Finance & Planning

4. Sri Lanka- Country Profile
Geography
Sri Lanka is an Island situated in the
Indian Ocean, off the base of the
Indian Sub Continent
Total Land Area is 65,610 sq.km
It is 435 km long and 240 km wide
Highest elevation is meters
Commercial Capital - Colombo
(Population - 800,000 approximately)
Other large cities - Jaffna, Kandy, Galle
Ports - Colombo, Trincomalee, and Galle
International Airport – Katunayake

5. History
Recent excavations show that even during the Neolithic Age, there were food gatherers and rice cultivators in Sri Lanka. Very little is known of this period
Recorded history begins in the 6th century B.C. with the arrival of Indo Arians (For more details: visit
There is evidence to show that direct trading between the west and Sri Lanka began towards the end of the 1st century.

6. Climate Tropical monsoon climate
Climate Tropical monsoon climate. Climatically Sri Lanka has no off seasons- bright, sunny & warm days are the rule and are common even during the height of the monsoon.
Temperature Low country:
min oC;
max.31.7oC
Hill country: min. 17.1oC;
max. 26.3oC
Rainfall Annual (average) : 1,630 mm.

7. Socio–Eeconomic Indicators
Category
Year
Measurement
Total Population
2008
19 (Million) 1.0 (Rate of growth)
GDP( Market Price)
40,714 (US $ ) 6.0 (Rate of growth)
GDP Per capita
2014 (US $)
Unemployment
5.2 (Total rate)
3.6 (Male rate)
8.5 (Female rate)
Literacy
90.6 (Total Percentage)
92.2 (Male Percentage)
89.1 (Female Percentage)
Life Expectancy
72 Year (Total)
70.1 Year (Male)
74.8 Year (Female)

8. Socio–Eeconomic Indicators
Category
Year
Measurement
Unemployment
2008
3,94,000 (No) 5.2% Rate
Life Expectance at Birth
73.4 (Years)
Literacy Rate
90.8%
Access to Safe Drinking Water
78%
Pipe- Born water
34.5%
Electricity of H/H
83%
Road village coverage
95%
Women Population
10,105 (Thousand)
Employed Women
2,511 (Thousand)
Public Service Women
548(Thousand)
Women Unemployment Rate 8%

9. Government Activities Monitoring and Evaluation Mechanism
Ministry of Finance + Other Ministries
Provincial councils
District secretariat
Municipalities and Pradesia sabas
Divisional secretariat
Grama Niladari division = Village level
PEOPLE

10. Causes of Poverty in Sri Lanka (i ) Lack of assets, especially land (ii) Imperfect property rights and miniature holding size (iii) Shortfalls in access to water, particularly in the non-irrigated areas of the dry zone (iv) Weak institutional arrangements and practices, especially with regard to land (v) Non competitive product markets for farm produce (vi) Limited technology adoption and utilization in rural industries (vii) Poor production standards and low product quality in rural industries (vii) High capital costs (ix) Raw material and resource bottlenecks (x) Limited access to production and marketing information (xi) Shortfalls in physical infrastructure such as inadequate power, energy and communications (xii) The absence of high mobility roads and a transport network linking villages, towns and cities.

11. Poverty Headcount Index (percentage) by Province & District
Sector/Province/ District
Poverty headcount index (percentage) by survey period
1990/91
1995/96
2002
2006/07
Sri Lanka
26.1
28.8
22.7
15.2
Province
Western
19.1
16.3
10.8
8.2
Central
30.7
36.2
25.1
22.3
Southern
30.2
32.6
27.8
13.8
Eastern
North-Western
25.8
27.7
27.3
14.6
North-Central
24.5
24.7
21.5
14.2
Uva
31.9
46.7
37.2 27
Sabaragamuwa
31.0
41.7
33.6
24.2
District
Colombo
16.2
12.0
6.4
5.4
Gampaha
14.7
14.1
10.7
8.7
Kalutara
32.3
29.5
20.0
13.0
Kandy
35.9
36.7
24.9
17.0
Matale
28.7
41.9
29.6
18.9
Nuwara-Eliya
20.1
32.1
22.6
33.8
Galle
29.7
31.6
13.7
Matara
29.2
35.0
27.5
Hambantota
32.4
32.2
12.7
Batticaloa
Ampara
10.9
Kurunegala
27.2
26.2
25.4
15.4
Puttalam
31.1
31.3
13.1
Anuradhapura
24.4
27.0
20.4
14.9
Polonnaruwa
23.7
Badulla
41.0
37.3
Monaragala
33.7
56.2
33.2
Ratnapura
30.8
46.4
34.4
26.6

12. The Millennium Development Goals (MDGs) Status of MDGs in Sri Lanka at a Glance
Target
Indicator
1990 or closest Year
Latest year
MDG Target for 2015
Status
GOAL 1 1
Proportion of Population below National Poverty line (%)
 26.1
(1990/91)
 15.2
(2006/07)
 13.0
On Track
Poverty Gap Ratio
 5.6
3.1 
2.8 
  On Track
Share of Poorest quintile in National Consumption (%)
8.9
7.1 NA 2
Prevalence of underweight children under-five years of
age (%)
 38.0
(1993)
21.6
 19.0
On Track  
GOAL 2 3
Net enrolment ratio in primary education 
95.7
(1996)
97.5
(2006/07)
100.0
 On Track
Proportion of pupils starting Grade 1 who reach Grade 5
68.1
(1990)
 99.6
Almost achieved 
Literacy rate of year olds
 95.6
(2001)
95.8
(2006) 
On Track 

13. The Millennium Development Goals (MDGs) Status of MDGs in Sri Lanka at a Glance (Contd.)
Target
Indicator
1990 or closest Year
Latest year
MDG Target for 2015
Status
GOAL 3 4
Ratios of girls to boys in Primary (grade 1 to 5) Secondary (grade 6 to 13) Tertiary (GCE A/L and above) Education
94.2
91.2
107.7
(1996) 
99.0
105.7
187.0
(2006)
100…
On Track 
Ratios of literate women to men years old
100.9
(2001)
101.8
100.0
Achieved
Share of women in wage employment in the non-agricultural sector
30.8
(1993)
34.1
(2008) NA
Proportion of seats held by women in National Parliament
 5.8
(1994)
5.8
(2007) 

14. The Millennium Development Goals (MDGs) Status of MDGs in Sri Lanka at a Glance (Contd.)
Target
Indicator
1990 or closest Year
Latest year
MDG Target for 2015
Status
GOAL 4 5
Under-five mortality rate (per 1000 live births)
32.0
( )
20.8
( )
14.0
(2005)
10.7
On Track
Infant mortality rate (per 1000 live births)
19.8
(1990)
11.3
(2003)
6.6
Proportion of one year-0ld children immunized against measles (%)
84.0
97.2
(2006/07)
100.0
GOAL 5 6
Maternal mortality ratio (per 100,000 live births)
42.3
(1991)
23.6
(1995)
19.7
(2003)
10.6
On Track
Proportion of births attended by skilled health personnel
87.7
(1987)
94.1
(1993)
97.6 (2006/07)
100.0

15. Not screened due to low prevalence
The Millennium Development Goals (MDGs) Status of MDGs in Sri Lanka at a Glance (Contd.)
Goal
Target
Indicator
1990 or closest Year
Latest year
MDG Target for 2015
Status
GOAL 6 7
HIV prevalence among years old pregnant women
Not screened due to low prevalence NA
Percentage of Population aged with comprehensive correct Knowledge of HIV/AIDS
35.3
(2006)
Contraceptive prevalence rate
61.7
(1987)
66.1
(1993)
68.0
(2006/07)

16. The Millennium Development Goals (MDGs) Status of MDGs in Sri Lanka at a Glance (Contd.)
Target
Indicator
1990 or closest Year
Latest year
MDG Target for 2015
Status
GOAL 6 8
Prevalence (per 1000 population) and
death rate (100,000 population) associated with malaria
16.8
0.7
(1990)
0.39
0.0
(2006)
On Track
Achieved
Proportion of population in malaria risk areas using effective malaria prevention and treatment measures (%)
( Children<5 yrs, * - slept under mosquito nets; # - slept under treated mosquito nets) 12
64.0*
3.8#
(2006/07)
Death rates (per 100,000 associated with tuberculosis)
3.5
1.7
(2005)
Proportion of tuberculosis cases detected and cured under directly observed short courses
80.8
(1998)
82.9

17. The Millennium Development Goals (MDGs) Status of MDGs in Sri Lanka at a Glance (Contd.)
Target
Indicator
1990 or closest Year
Latest year
MDG Target for 2015
Status
GOAL 7 9
Proportion of land area covered by forest (%)
33.8
(1992)
29.9
(2005)
33.0
Ratio of area protected to maintain biological diversity to surface area
15.5
(1990)
17.2
Already achieved
Proportion of population using solid fuels
89.0
(1994)
79.0
(2006)

18. The Millennium Development Goals (MDGs) Status of MDGs in Sri Lanka at a Glance (Contd.)
Target
Indicator
1990 or closest Year
Latest year
MDG Target for 2015
Status
GOAL 7 10
Proportion of population with sustainable access to an improved water source, urban and rural - * SL U R E
68.0
(1990)
82.0
96.0
81.0
61.0
(2001)
84.7
95.4
84.6
57.8
(2006/07)
84.0
Already achieved
Proportion of urban and rural population with access to improved sanitation
69.0
67.5
77.8
43.2
93.9
91.5
94.8
85.1
84.5 11
Proportion of households with access to secure tenure
(1 minus the percentage of population live in slums) NA
95.2
(2006)
* U- Urban Sector, R- Rural Sector, E- Estate Sector

19. The Millennium Development Goals (MDGs) Status of MDGs in Sri Lanka at a Glance (Contd.)
Target
Indicator
1990 or closest Year
Latest year
MDG Target for 2015
Status
GOAL 8 13
Net ODA as % to total (Gross ODA)
Net ODA as % to GNI of DAC countries (donors’)
67.1%
(1985/86)
0.33%
64.9%
(2005/06)
0.32% (2005/06)
Proportion of total bilateral, sector-allocation ODA of OECD/DAC donors to basic social services (as % to total ODA)
13.8%
(1992)
17.2%
(2005)
Proportion of bilateral ODA of OECD/DAC donors that is untied
2.9%
1.5%
ODA received in landlocked countries as proportion of their GNIs …
ODA received in small island developing states (recipient’s) as proportion of their (Donors) GNIs
Average for DAC countries
5.0% (1992)
0.31
3.0% (2006)
0.33
(2006)

20. The Millennium Development Goals (MDGs) Status of MDGs in Sri Lanka at a Glance (Contd.)
Target
Indicator
1990 or closest Year
Latest year
MDG Target for 2015
Status
GOAL 8 14
Proportion of total developed country imports from developing countries and LCDs, admitted free of duties (as a % to total exports)
91.7%
68.7%
(2006)
Agricultural support estimate for OECD countries as percentage of their GDP (as a % to total ODA)
26.1%
(1992)
11.0%
(2005)
Proportion of ODA provided to help build trade capacity (as a % to total ODA)
0.02%
(1991)
0.39%

21. The Millennium Development Goals (MDGs) Status of MDGs in Sri Lanka at a Glance (Contd.)
Target
Indicator
1990 or closest Year
Latest year
MDG Target for 2015
Status
GOAL 8 15
Debt relief committed under HIPC initiative (Debt relief as a % total ODA loans)
0.6%
(1997)
17.1%
(2006)
Debt service as a percentage of exports of goods and services
17.9%
(1990)
12.7% 16
Unemployment rate of year-olds, each sex and total
Both 34.9
Male 29.9
Female 42.2
(1993)
Both 19.0
Male 15.1
Female 25.9
(2008) 17
Proportion of population with access to affordable essential drugs on a sustainable basis
80.0
(MoH) NA

22. The Millennium Development Goals (MDGs) Status of MDGs in Sri Lanka at a Glance (Contd.)
Target
Indicator
1990 or closest Year
Latest year
MDG Target for 2015
Status
GOAL 8 18
Fixed Telephone lines per 100 population and
Cellular subscribers (per 100 population)
0.8
(1991)
9.5
(2006)
On Track
0.0
27.0
Percentage of households using personal computers
3.8
(2004)
8.2
(2006/07)
Percentage of households (all) using internet
0.7
2.4
Percentage of households (all) using
0.9
2.3
Percentage of households (having personal computers) using internet
19.2
28.6
Percentage of households (having personal computers) using facilities
24.7
27.3

23. Poverty Ratio by Sector
1990
(%)
2002
2006/2007
National 26 23
15.2
Urban 16 08
6.7
Rural 29 25
15.7
Plantation 21 30
32.0

24. Challenges Priority Actions
Sharp regional variations in the poverty incidence.
Low productivity and wages in the agriculture and service sectors.
High vulnerability of the poor in relation to seasonality of income, exposure to external shocks and degradation of natural resources.
Low quality of rural infrastructure.
Mismatch between skills, employment opportunities and aspirations.
Priority Actions
Reform and synergize existing poverty alleviation programmes - Area-based consultative and participatory poverty reduction programmes.
Increase investment in infrastructure in less developed regions that have potentials for value creation.
Diversification of agriculture with rural industrialization.
SME development.
Improving regional food security & quality.
Nutritional support programmes for poorest families.

25. Vision of the Ten Year Development Framework (2006-2016)
While maintaining the growth rate of GDP between 8%-10%, graduating the economy to the category of middle income, with per capita income of US$ (Rs. 485,000) by 2016.

26. Major Socio-economic objectives
Maintain a higher economic growth
Reduce regional disparities in development
Reduce poverty incidence
Minimize regional variations in poverty
Maintain the fiscal deficit at tolerable level
Transform the economy to a knowledge and technology based one
Transform strategic public enterprises to efficient and pro-active entities
Achieve MDG targets within the targeted framework

27. Macro Level Strategies
Maintain a liberal economy
Strong government intervention
Promote value added products
Expand export market
Promote private investments
Improve connectivity and mobility
Develop human capital
Promote public-private partnerships
Augment public investment

28. Key economic indicators at national level
2008
2009
2010
2011
Growth Rate
6.0
3.5
6.5
Investment rate
27.5
25.4
28.3
31.5
Savings rate (domestic)
14.1
18.2
21.3
24.2
Inflation rate
16.3
8.0
7.0
Fiscal deficit/GDP
(7.7)
(-7.0)
(6.0)
(5.0)
Trade balance/GDP
(-14.0)
(-8.0)
(-8.2)
(-8.4)

29. Regional disparities in development (2007)
Province
GDP%
Poverty ratio
Samurdhi index
Unemployment rate
Western 48
8.2
66.1
4.4
Central 09
22.3
52.9
5.9
Southern 10
13.8
51.6
8.1
Eastern 05
10.8
44.2
7.7
North Western
14.6
49.7
4.3
North Central 04
14.2
48.3
3.9
Uva
27.0
47.8
5.0
Sabaragamuwa 06
24.2
48.4
5.2
Northern 03 -
43.6
Sri Lanka
100
15.2
52.7

30. Strategies to reduce regional disparities in development/poverty
Area specific development
Improvement of rural infrastructure
SME development/Micro finance
Rural industrial development
Rural electrification
Technology to villages
Community/Rural water supply and sanitation
Primary health care and nutrition programmes
Rehabilitation of minor tanks
Income generating projects under Samurdhi Movement & Gemidiriya Programme
Special rural focused projects(Gemidiriya, Gama Neguma etc.)

31. Objectives of the Development Strategy for Regional Development
Maintain the growth rate of regional GDP at 13% on average
Maintain the sector growth rates in the following manner
Agriculture 10%
Manufacturing 18%
Services 12%

32. Reduce poverty ratio from the present level of 15% to 12% by 2012
Generate 100,000 new job opportunities in all sectors by yearly
Develop the all Provinces on par with the rest of the country
Ensure harmonious and peaceful living pattern in the region

33. Major Income Generating Projects funded through National Budget
Janapubuduwa
Gemidiriya
Dairy Villages
Dahasak Maha Wev
Industrial Villages
SMID
Gam Pubuduwa
Objective
Provide concessionary credit facilities to Samurdhi beneficiary families
Promote gainful economic activities among poor families
Promote milk production at village level through farmer managed societies.
Rehabilitation of minor tanks and augment water supply facilities for cultivation purposes
Provide common services, infrastructure facilities, capital goods and market facilities for small industrialists.
Provide credit facilities to small scale industries and enterprises.
Improve rural infrastructure facilities with community participation to create a conducive environment for entrepreneurial activities. .

34. Vidatha Programme. Establish IT centers at village level to
Vidatha Programme Establish IT centers at village level to improve computer literacy.
Yovun Diriya Provide tool kits for skilled persons like
masons and carpenters.
Vocational Training for
Differently Abled Train differently abled persons to engage
People in gainful employment.
Kantha Diriya Train poor women to engage in handloom industry or other crafts at village level.
All these projects will be coordinated at village and divisional levels under the proposed Grama Sabas and Jana Sabas of the “Gama Neguma” Progarmme (Prosperous Village)
The existing livelihood cluster meeting attended by all the relevant Secretaries and chaired by the Secretary to the Treasury will be further strengthened to review the progress of the Gama Neguma at national level

35. Micro Financing and SME Development
Provision of small concessionary loans to low income families to cover working capital of their own income generating projects. (Average loan size is from Rs,25,000 to Rs.50,000)
SME Development
Provision of fairly big loans for small and medium scale enterprises. According to World Bank classification, enterprises with less than 50 employees are considered as small enterprises. Enterprises with employees between 50 to 100 are considered as medium scale enterprises.

36. The Mega projects contained in the Investment Programme will focus on
Restoration of socio-economic stability
Revitalization of livelihood activities
Expansion of productive sectors
Improvement of economic infrastructure
Upliftment of the rural economy
Full exploitation of marine resources
Improvement of skills in the labour force
Boosting the industrial development
Strengthening of institutional capacity and quality of the public service

37. Major thrust of the investment strategy
Social Protection
Supporting self-income generating activities
Provisioning basic needs and relief assistance
Alleviating poverty
Caring destitute and vulnerable groups

38. Economic Infrastructure
Upgrading economic infrastructure through different financing mechanisms
Attraction of private investments
Ensuring connectivity with the rest of the country
Facilitating transport of goods and passengers
Revitalization of the provincial economy

39. Social Infrastructure
Establishment of healthy labour force
Establishment of a knowledge based society
Establishment of a skillful manpower-base
Strengthening of cultural ties among different social groups
Active involvement of the youth in the development process

40. Suggestions
Better co-ordination of micro finance programmes at local level in order to avoid duplication works, geographical over lapping and wrong practices in selecting target groups.
Regulation of micro-finance programmes by a national level authority in order to create a level playing field and avoid discriminatory practices.
Establishing an effective monitoring system at divisional level to evaluate the progress of the poverty reduction projects and take prompt actions accordingly.
Divert more private and public investments to remote and lagging behind regions through appropriate incentives and other government interventions in order to avoid mismatch between the macro-economic policies and pro-poor growth policies. Anchor projects which have strong linkage effects and high value addition are suggested to be implemented in less developed districts.

41. A Village in 2020 Comprises   Self Sufficient Villagers Modern Road Network Comfortable Houses Proper Transportation Network Advanced Network Connection Health Centre and School with all facilities Green Belt High Quality Living Spaces Sports Club One stop Administration Centre Advanced Medical Care System Recreation Centre Daycare centres for children and Elders Vocational Training Centre Contended Civil Society with Religious, Cultural and Spiritual Values

43. WELCOME TO SRI LANKA

44. STHOOTHIE
THANK YOU