Sri Lanka has approved the implementation of an updated National Tariff Policy following a comprehensive review aimed at strengthening compliance, improving clarity, and aligning the framework with current economic and fiscal conditions.

The National Tariff Policy was originally introduced to establish a transparent, predictable, and coherent tax system to support trade, investment, and fiscal objectives. Approval was granted at a Cabinet meeting on November 3, 2025, to review the policy and introduce necessary amendments to address issues encountered during its implementation and to ensure consistency with relevant tax laws.

Following this decision, the National Tariff Policy Committee conducted a detailed assessment of the policy provisions, identifying areas that were not fully aligned with recent economic, fiscal, and trade-related data as well as existing legal requirements.

The review also incorporated observations made by the Committee on Public Finance (COPF), particularly regarding the need to remove complexities in the policy and ensure adherence to statutory provisions.

Based on the Committee’s recommendations, the Cabinet of Ministers approved a resolution presented by the President of Sri Lanka in his capacity as Minister of Finance, Planning, and Economic Development, to proceed with implementing the revised National Tariff Policy.

The updated framework is expected to enhance policy coherence while supporting Sri Lanka’s broader trade and fiscal management objectives.