The Hon. (Dr.) Anil Jayantha - Minister of Labour and Deputy Minister of Finance and Planning
Hon. (Dr.) Anil Jayantha responded to a Standing Order 27(2) question from Hon. Ravi Karunanayake regarding Treasury Bill and Bond issuance and the Employees’ Provident Fund. He said the transfer of government securities issuance from the Central Bank to the Ministry of Finance under the Finance Act and PDMO Act was to be completed on 1 January 2026, and that no final policy decision had yet been taken on related matters. He provided EPF asset and investment figures as at 31 October 2025, noting that most assets were held in government securities due to the fund’s scale and risk profile, and said EPF returns generally exceeded selected market indicators except in 2022. He also outlined EPF governance, reporting and IT modernization measures, stating that Cabinet approval had been obtained for a new EPF IT solution and that existing systems allow online contributions and account access.
Verbatim record (translated)
Machine-translated from Sinhala / Tamil / English¶ 01 Hon. Speaker, first I will answer the Question raised by Hon. Ravi Karunanayake under Standing Order 27(2) on 27 November 2025.
¶ 02 1. During 2025, the process of handing over issuance of Treasury Bills and Bonds from the Central Bank to the Ministry of Finance commenced under the Finance Act and the PDMO Act. Upon completion on 01 January 2026, this matter will be addressed accordingly.
¶ 03 2. If a policy decision is finalized, we will inform the House.
¶ 04 3. a) EPF total assets as at 31.10.2025: Rs. 4,894 billion. b) EPF investment portfolio as at 31.10.2025 (book values): - Government securities: Rs. 4,616,978 million (94.34%) - Corporate debt instruments: Rs. 22,135 million (0.45%) - Listed equities: Rs. 191,161 million (3.91%) - Unlisted equities: Rs. 45,172 million (0.92%) - Total: Rs. 4,894,096 million.
¶ 05 4. a) EPF’s composition is driven by domestic market opportunities; given fund size, fixed income is prioritized for steady long-term returns. Government securities are lowest-risk and the most practical major allocation. b) Returns credited to members (after 14% income tax) vs market indicators: - 2020: EPF 9.00%; ET Fund 8.00%; Fixed deposits 5.25%; AWDR 5.80%; CPI 4.60%. - 2021: 9.00%; 5.50%; 4.94%; 6.00%; CPI 12.00. - 2022: 14.06% CPI 46.40 (only year EPF not higher). - 2023: EPF 13.00%; 10.00%; 8.00%; 11.64%; CPI 17.40. - 2024: EPF 11.00%; 10.00%; 7.00%; 7.53%; CPI 1.20. Except 2022, EPF returns were higher.
¶ 06 5. Answer as in No. 2.
¶ 07 6. EPF follows a passive approach as a long-term fund; governance framework with firewalls between EPF investments and CBSL functions is established. a) Annual Report (with financials and Auditor-General’s report) is submitted to the Ministry of Labour for presentation to Parliament. b) No actuarial valuation is required as EPF is a defined-contribution accumulation of member balances based on earnings (defined process for crediting income).
¶ 08 7. Cabinet approval has been obtained to procure an EPF IT solution; a comprehensive system is being designed jointly by the Department of Labour and CBSL. Current system already allows online contribution payments and account access.
¶ 09 8. The CBSL staff Code of Conduct is published: https://www.cbsl.gov.lk/en/about/organisational-structure/governance-codes-and-policies
¶ 10 9. No policy decision has been taken yet.
¶ 11 Thank you.
Provenance
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- Hansard, Friday, 9 January 2026 ·No. 23149 ·English daily/uncorrected Hansard
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Cite as: The Hon. (Dr.) Anil Jayantha - Minister of Labour and Deputy Minister of Finance and Planning. 10th Parliament, Parliament of Sri Lanka. Hansard, 9 January 2026. No. 23149. Politick, https://staging.politick.io/lk/speeches/1691