Sri Lanka country climate and development report

This report analyzes potential future pathways, policies, and investments that will help Sri Lanka achieve a climate-resilient, sustainable future.

Some of the mentioned recommendations that if successfully implemented, they can help Sri Lanka achieve economic growth and job creation while delivering a host of other benefits include:

• Boost competitiveness and facilitate trade and investment for a stronger baseline recovery by improving the investment environment, reducing trade barriers, addressing challenges in the financial sector, and advancing state-owned enterprise reforms. (1.2)
• Enhance tax policy and administration to increase revenues for resilience investments by rationalizing tax incentives, increasing corporate taxes, taxing high net-worth individuals, addressing tax administration challenges, and considering a gradual introduction of carbon pricing mechanisms.
• Prioritize resilience investments and protect poor and marginalized households by developing a comprehensive Resilience and Adaptation Investment Plan, ensuring rural access to critical services, and enhancing the adaptability of social protection systems to respond to shocks.