Press briefing of Cabinet Decision taken on 2019-07-23

Establishment of the Palmyrah Fund

- A provision of Rs.15.25 billion had been allocated to strengthen the reconciliation process in Sri Lanka by the Budget 2019. In the instance, the approved proposals include the establishment of an independent fund called 'Palmyrah Fund' with a view to ensuring that war-affected communities in Northern and Eastern Provinces reap the benefits of the development. Assisting in the consultancy and support programmes initiated by the civil society towards the matters pertaining to alcoholism, drug abuse, and eradication of youth unemployment is also the objective of this fund. A sum of Rs. 5 billion had been allocated to spend within a period of two years for the said purpose and it is anticipated to allocate provisions for the development of Northern and Eastern Provinces through this fund. Accordingly, the proposal made by the Minister of Finance to instruct the Legal Draftsman to draft necessary legislation for the establishment of an independent entity called 'Palmyrah Fund', was approved by the Cabinet.