A decision taken by the cabinet at its meeting yesterday (06) could come in the way of holding the local government polls, according to social media posts.
Until such time state revenue recovers from its present 8.3 per cent of the GDP, the cabinet has approved a proposal by the president as the finance minister to order the treasury secretary to release funds only for the recurring expenditure essential to maintain public services, said the decision.
However, Election Commission chairman Nimal Punchihewa said a failure by the treasury secretary to provide money to hold the LG polls would be reported to the Supreme Court.
Punchihewa said Rs. 770 million has been sought to meet the basic expenditure on services.
The court verdict on the cases filed in support of and against holding the election has to be accepted, he said.