Sri Lanka to Enact Digital Economy & Cyber Security Laws 📈

The Government is set to introduce two landmark legislations this year—the Digital Economy Act and the Cyber Security Act—to formalize the nation's digital transformation and establish a secure legal framework for a tech-driven economy. • New Authorities & Frameworks • Establishment of the Digital Economy Authority to integrate all Ministries and State institutions into a unified digital ecosystem. • Formation of the Cyber Security Authority to oversee protection standards for public infrastructure and digital systems. • Both Bills are in final drafting stages and are expected to be presented to Parliament within 2026. • Economic & Digital Goals • Target to grow the digital economy to US$ 15-30 Bn by 2030 (approx. 12-14% of GDP). • Increase digital sector foreign exchange earnings from US$ 1.6 Bn to US$ 5 Bn by 2030. • Budgetary allocation of Rs. 30 Bn to drive transformation, with Rs. 16.5 Bn specifically for the Ministry. • Strategic Initiatives • Launch of a national digital identity card and a consolidated "Super App" for State services. • ICT/BPM and GovTech focus to enhance public service efficiency (already tripled for certain certifications). • Digitization of agriculture (CROPIX), health, and education sectors to formalize rural economic activity. • Governance Outlook While the move seeks to coordinate policy, analysts warn of potential bureaucratic layers and high administrative costs by creating new bodies rather than reforming existing institutions like ICTA or SLCERT.