Sri Lanka's Cabinet has approved over Rs. 1 billion in equity funding for Lanka Metro Transit to expand its urban public transport operations, with plans to deploy an additional 112 low-floor buses and develop supporting infrastructure.
The Cabinet of Ministers has approved Rs. 1.0675 billion in equity capital for Lanka Metro Transit (Private) Limited, a subsidiary of the Sri Lanka Transport Board established in October 2025. The funding comprises Rs. 800 million allocated for 2026 and Rs. 267.5 million for 2027, aimed at strengthening the company's urban public transport operations in the Colombo area.
Lanka Metro Transit currently operates a pilot service using 10 low-floor buses sourced under the Clean Sri Lanka programme. According to government assessments, the pilot operation has demonstrated both commercial viability and public acceptance. The company is planning to deploy an additional 112 low-floor buses beginning in September, necessitating expanded infrastructure to support increased operations.
The approved funding will be directed toward developing infrastructure including a fully equipped central workshop in Ekala and modern bus depots in Thalangama, Kadawatha, Ratmalana, and Homagama. Internal roads and bus parking facilities will also be upgraded as part of the expansion initiative. Transport Minister Nalinda Jayatissa indicated that the initiative aims to strengthen existing transport structures rather than undermine them, noting that the SLTB will remain efficient and private operators will continue functioning alongside state initiatives to provide competitive services to commuters.
