Cabinet clears liquidation of 33 non-functional SOEs

Friday, 5 September 2025 00:32 - - {{hitsCtrl.values.hits}}

The Cabinet of Ministers at their meeting on Wednesday approved a proposal by President Anura Kumara Disanayake, in his capacity as Finance, Planning, and Economic Development Minister, to liquidate 33 public enterprises deemed non-functional and financially unsustainable.

“Many of these entities were originally established to provide public services or promote strategic economic activities, but have since become incompatible with present-day requirements and market conditions. Several have failed to deliver meaningful contributions to the economy or public services, while continuing to drain State resources,” Cabinet Spokesman and Minister Dr. Nalinda Jayatissa said at the weekly post-Cabinet meeting media briefing yesterday.

He said the liquidation process will take place in two stages under the supervision of the Special Liquidation Unit of the Finance Ministry. “Some of the entities identified are Asian Games Ltd., Thurusaviya Fund, Selendiva Investment Ltd., Lanka Logistics Ltd., Commonwealth Games Hambantota Ltd., Magampura Management Company, Mihin Lanka Ltd., Technopark Development Ltd., Media Training Institute, Lanka Cement Ltd., Expressway Transport Ltd. Many of these entities have only their name boards today,” he disclosed.

Dr. Jayatissa said that the full list of enterprises slated for closure will be published by the Finance Ministry in due course.

When asked about the future of the national carrier, SriLankan Airlines, the Cabinet Spokesman clarified that it was not part of the liquidation list.

He said Rs. 20 billion has been allocated in the Budget to explore restructuring measures aimed at cost reduction and stabilisation. “The Government is trying its best to revive SriLankan Airlines, and with the anticipated tourism boom, we hope the airline will have better prospects for growth,” he added.