📈 Customs Reform Focuses on Incentives to Curb Corruption

Finance Deputy Minister Dr. Anil Jayantha Fernando has emphasized that fixing the "coercive ranks" and unfair pay structures within Sri Lanka Customs is critical to eliminating bribery and sustaining long-term reforms. • Historical Revenue Performance (2025) • Total Collection: Rs. 2,257 Bn (Surpassing the Rs. 2,231 Bn target). • Growth: Highest-ever collection in history; general cargo revenue rose by 18%. • Enforcement: Rs. 32 Bn contributed via direct enforcement (up 10% YoY). • 2026 Targets & Strategic Outlook • Revenue Target: Set at Rs. 2,207 Bn. • Digitalization: Focus on full automation to reduce face-to-face interactions and manual procedures. • Trade Facilitation: Launch of "Track My CusDec" and expanded "Advance Rulings" for MSMEs. • Governance: A new IMF-backed Code of Ethics and Conduct becomes binding this week to address "substantial" corruption risks. • Efficiency Gains (Time Release Study 2025) • Seaport Imports: Median clearance time improved to 51 hrs 32 mins (down from 54 hrs 19 mins). • Air Cargo: Faster routine clearance noted, though delays persist in pre-customs declaration submissions. • Future Infrastructure: Plans for a Kerawalapitiya cargo yard by 2027 to slash physical exams from 40% to 10%.