Special Bill in Parliament to Increase the Borrowing Limits

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Parliament has granted special approval to increase the standard borrowing limit to accommodate government’s excessive borrowings which has exceeded current limits.
Accordingly, the Appropriation (Amendment) Bill was passed in Parliament by a majority of 45 votes to increase the Government’s credit limit by Rs. 1629 billion in 2017 with 53 votes were cast in favor of the Bill while 8 votes were cast against it. The JVP and the Joint Opposition voted against the Bill and parties associated with the government and Tamil National Alliance voted in favor of the Bill.
Usually, the government debt limit is approved by the Parliament with the annual budget. However, the government was unable to keep the borrowing limit to the existing level in year 2017 which was approved by the budget in 2016.
Therefore this Bill was presented to Parliament by Finance Minister Mangala Samaraweera in order to increase the Credit limit.