May 10, Colombo: Sri Lanka's Finance Minister Mangala Samaraweera says a 'GAMPERALIYA' a rapid village development program will be launched with the money saved from the removal of the fuel subsidy.
During the press conference held today at the Treasury to explain the fuel pricing formula, Finance Minister said under the new fuel price formula, fuel prices will adjust every two months. It can increase or decrease depending on the world crude oil prices.
Sri Lanka's Cabinet of Ministers yesterday approved the price formula prepared by the Finance Ministry to raise fuel prices.
However, the Ministry has taken a decision to provide kerosene to the poor people at the old price regardless of the world market price considering their needs.
The Finance Ministry, the Ministry of Fisheries and the Samurdhi Authority will implement a special program to provide kerosene oil at the old price to the small boat owners of the fisher community and poor Samurdhi beneficiaries. The relief program will be implemented from midnight today (10), the Minister said.
Under the program, the subsidy for kerosene will be directly deposited in the bank accounts of the small boat owners and Samurdhi beneficiaries from 1st June.
The Minister further said the measures will be taken to remove the 2.5 percent tax on interests earned from children's' savings accounts up to the age of 18.
Meanwhile, the government has also decided to exempt tax on book advances given to authors by the publishers up to a Rs. 500,000 per year from Rs. 50,000.