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NAVSTRAT-2030

CHAPTER 4

RESOURCE ALLOCATION AND BUDGETING

The NAVSTRAT-2030 will require a comprehensive budget allocation in order to effectively
implement and achieve its strategic objectives. Especially, when developing a comprehensive
resource allocation and budgetary plan for the SLN, it requires careful consideration of several
factors like;

● The evolving maritime security landscape
● New and emerging threats
● National priorities and government policies
● Available resources
● National Gross Domestic Product (GDP)

Therefore, considering all aspects mentioned in above, the resource allocation and budget to be
prioritized;
● Investment in naval infrastructure facilities to enhance the SLN’s operational
capabilities and facilitate the maintenance of naval assets
● Allocation of sufficient funds for the new acquisitions
● Provisions for adequate resources for training and development
● Allocation of funds for research and development initiatives to promote innovation
and technological advancements
● Provision of financial resources for international cooperation initiatives to enhance
maritime safety and security through partnerships with foreign navies and agencies

Comparison of National Defence Budget and Navy Budget in Last Six Years

Defence spending has consistently increased over the past decade, despite the end of the armed
conflict in 2009. Annually GoSL spends around 1.7% to 1.9% of GDP for defence budget. In
2023, GoSL allocated Rs. 411.7 Bn to defence and it is 1.8% of GDP. This is the third highest
budget allocation among all ministries, exceeded only by Finance and Public Administration. As
per the Table 4.1, SLN has received 17% to 20% of allocation from defence budget.

Table 4.1
Comparison of Defence Budget with SLN Budget (2019 - 2024)

DESCRIPTION 2019 2020 2021 2022 2023 2024

Defence Budget(Mil) 279.1 283.8 307.8 353.1 411.7 423.7
(Rs Bn)
SLN Budget 56.4 56.4 57.3 61.4 77.7 81.3
(Rs Bn)
SLN Budget as a 20.2% 19.90% 18.60% 17.40% 18.90% 19.20%
Percentage of Defence
Budget

Annual Increment of Very 1.57% 7.27% 26.5% 4.6%
SLN Budget compare minimal
to previous year percentage

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