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0 percent of the economy from around 8.0 for the current year. Tax revenues have also been in line with nominal GDP growth at 18.3 percent (the GDP deflation was around 10 percent for the second quarter). The 'appropriation bill' is considered the 'first reading of the budget' in Sri Lanka and sets out expenditure allocations for various ministries and also foreign and local borrowing limits for next year.
The budget proper with itemized expenses and measures to bridge the deficit including tax changes which is considered the 'second reading' of the bill is to be presented in parliament on November 22.
Sri Lanka's President Mahinda Rajapaksa is also due to take oaths for a second term at least by November 20, where some ministerial changes may also be made, political sources said.
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Budget Outline
The government is planning a budget deficit of around 7.0 percent of gross domestic product for 2011 down from an expected 8.0 percent in 2010, finance ministry sources said.
Total spending with debt repayment of 450 billion rupees for 2011 w