Sri Lanka approves Rs. 1.07 Billion to expand Metro Transit Bus service

Cabinet has approved Rs. 1,067.5 million in equity capital for Lanka Metro Transit (Pvt) Ltd to expand and modernize Sri Lanka’s public transport service.

Lanka Metro Transit (Pvt) Ltd was incorporated on October 3, 2025, under the Companies Act No. 7 of 2007 as a subsidiary of the Sri Lanka Transport Board.

Pilot urban transport operations have already begun in Colombo using 10 low-floor buses purchased with funds allocated under the Clean Sri Lanka programme.

The government said the commercial viability of the service and its acceptance among the public have been established through the pilot operations.

Accordingly, Lanka Metro Transit plans to add another 112 low-floor buses to the service in September.

Infrastructure development is also planned to ensure the expanded operations are carried out in an organized and efficient manner.

The planned developments include a fully equipped central workshop in Ekala, modern bus depots in Thalangama, Kadawatha, Ratmalana and Homagama, as well as internal roads and bus parking areas.

Cabinet approval was granted for a proposal submitted by Minister of Transport, Highways and Urban Development Bimal Rathnayake to provide Rs. 800 million in equity capital this year for infrastructure development.

A further Rs. 267.5 million will be provided for the company’s operational activities in 2027.