More than 300,000 small and medium scale businesses dependent on the banking system have either been closed already or are facing closure, according to the economic stabilization subcommittee.
A subcommittee report also noted the state owes Rs. 300 billion in payments to building contractors and suppliers of goods and services such as food, electricity and transport.
The subcommittee headed by MP Patali Champika Ranawaka said that Rs. 200 billion was yet to be paid in lieu of the work done for the RDA, NWS & DB, Education Ministry and district and divisional secretariats.
Giving payment priority for contracts worth more than Rs. 100 million has adversely affected the small-time businesses.
The subcommittee has summoned professionals in various fields and discussed their issues in detail, said Ranawaka.