🏗️ Govt. Eyes Defence Force Labour to Address Construction Sector Shortages

The Sri Lankan government is evaluating a plan to utilize defence personnel for labour contributions in the local construction sector. The proposal was discussed at the Defence Ministry’s 2027 pre-Budget meeting, chaired by President Anura Kumara Dissanayake. • Construction Sector Challenges: • Persistent skilled labour shortages, rising trade worker competition, and elevated employment costs. • Higher procurement costs driven by rising prices of imported construction materials and global commodity trends. • Defence R&D & Ops Rationalization: • President Dissanayake instructed merging separate Army, Navy, and Air Force R&D units into a single national centre for optimal efficiency. • Plans prioritize rapid technology adoption, advanced equipment procurement, and expanded budget allocations for overseas skill training. • Operations and funding reviewed for General Sir John Kotelawala Defence University Hospital and the commencement of Neville Fernando Hospital. • Defence Budget Context: • The Defence Ministry was allocated Rs. 455 Bn in the gazetted 2026 Appropriation Bill (Rs. 395 Bn recurrent; Rs. 60 Bn capital). • For comparison, Finance received Rs. 634.8 Bn, Health & Mass Media Rs. 555 Bn, and Education Rs. 301 Bn. • Verité Research Insights: Sector spending on diets and uniforms is projected to drop 12.7% in 2026, but recorded a 299% surge between 2022 and 2026 (vs. ~80% cumulative inflation).