The Hon. (Dr.) Harini Amarasuriya - Prime Minister

¶ 01 Hon. Speaker, I table the response to Part 05 of the question raised by Hon. Ravi Karunanayake.

¶ 02 Rest of the Answer tabled:

¶ 03 05. Several programs are underway to improve Sri Lanka’s digital economy to enable automatic implementation of government policies and provision of public services to citizens and businesses without hindrance. Background as follows:

¶ 04 Introduction to the digitalization of the economy

¶ 05 Digitalization has become essential for economic growth worldwide, and the present Government has taken many steps to leverage technology for modernizing the economy. The Government’s digital policy focuses strongly on digitizing public services and promoting cashless transactions. Through accelerated adoption of digital technologies, our goal is to nurture a more efficient, transparent and competitive economy.

¶ 06 Role of digitalization in eliminating redundant regulations and bureaucracy

¶ 07 Accelerating digitalization will help the Government resolve long-standing inefficiencies. Key benefits include: - Streamlining public services: Digitizing state services and payments can significantly reduce waiting times and improve service efficiency. - Automating administrative processes: Digital platforms can automate tasks such as document verification and approval workflows, reducing handoffs and delays. - Enhancing transparency: Digitizing transactions aids monitoring and oversight, promotes accountability and minimizes opportunities for corruption. - Improving decision-making: Real-time data and digital tools enable institutions to make faster, better-informed decisions, reducing policy implementation delays.

¶ 08 Government strategies for digitalization

¶ 09 The Government has initiated the following priority projects:

¶ 10 - Sri Lanka Unified Digital Identity (SLUDI): In integration with the Department for Registration of Persons’ E-NIC project, a secure, verifiable, scalable digital identity system will be implemented using MOSIP, with biometric modalities (fingerprints, facial and iris recognition). The digital ID will be linked to the birth certificate, driving licence, Taxpayer Identification Number (TIN) and other systems, eliminating the need for multiple credentials and preventing duplicates/fraud to ensure resources reach true beneficiaries. Launch targeted in 2025 Q1.

¶ 11 - Online platform for obtaining birth, marriage and death certificates: Launched by H.E. the President on 7 February 2025, enabling Sri Lankans overseas to obtain certificates online via 88 Sri Lankan missions worldwide, removing the need for in-person visits or paper submissions, expediting documents, improving consular efficiency and strengthening ties with the diaspora.

¶ 12 - Online platform for applications to the President’s Fund: Launched by H.E. the President on 7 February 2025, allowing citizens to apply online. The platform improves efficiency, speed, accessibility, reduces errors and paperwork, and enhances transparency and accountability in fund allocation.

¶ 13 Role of cashless transactions in economic growth

¶ 14 Key aspects include: - Increasing financial inclusion: Cashless systems such as mobile wallets and digital cards expand access, including in remote areas. - Efficiency: Digital payments are faster and reduce administrative burdens of handling cash. - Reducing redundant regulations and bureaucracy: Digitizing payments and services streamlines processes, reduces human error and inefficiencies.

¶ 15 Government strategy for a cashless society

¶ 16 - Enhancing GovPay: The upgraded GovPay service was launched by H.E. the President on 7 February 2025. Initially, 16 services are payable digitally, with 30 more to be added by April 2025. Transaction fees are being reduced from Rs. 50 to Rs. 15 to encourage adoption.

¶ 17 - Promoting LankaQR-based payments: QR payments provide a secure, efficient, convenient and cost-effective solution, especially for SMEs, improving transparency and reducing fraud risks. Having been temporarily reduced to 0.5% during COVID, fees later reverted to 1%. The Government is working to reduce fees towards near-zero, similar to India, assessing various options.

¶ 18 - Digital payment card for domestic micro-transactions: A national payments card targeting daily transactions—public transport (bus, rail) and expressway tolls—to reduce reliance on cash.