Cabinet approves proposal to shut down ICTA

Team ReadMe
3 Min Read

The Cabinet of Ministers has approved the president’s proposal to cancel the Information and Communication Agency Act No. 27 of 2003 and to introduce the Technology Promotion Act. Accordingly, the Legal Draftsman is to prepare a draft bill based on the proposed concept paper.

According to the government, the act involves “introducing new laws for digital improvement/transformation” and the establishment of a technology innovation council along with a digital transformation agency. The news comes almost a year after the president first announced plans for such an agency with the idea of building government apps in-house. Additionally, the agency would collect and monitor numerous state institutions.

The eventual transition from ICTA to a new governmental agency has been in the works since at least late 2022. During the 2023 budget reading, the president declared plans to close ICTA and bring forward legislation instead, now classified as the Technology Promotion Act. The amendments to the ICTA Act would also facilitate the creation of the proposed national AI center, as per a Cabinet briefing in December. Now, with Cabinet approval for the amendment and it’s increasingly vocal AI plans, it appears the government is moving forward.

Interestingly, the proposed Digtal Transformation Agency is only one of few government bodies that are to be established over its national digitalization plans. The Data Protection Act’s Data Protection Authority is expected to be fully operational by 2025. More recently, the upcoming Cyber Securty Bill will set up a Cyber Security Regulatory Authority once passed into law.

At the time writing, other specifics around the upcoming bill remains unclear, particularly with regard to the Digtal Promotion Transformation Agency’s purview and scope of responsibilities. It’s also unclear when the bill is intended to be made public. However, the president has publicly stated the government’s intentions to set up the necessary legislation in time for its proposed AI research by 2025. This means the amendments to the ICTA Act and the Technology Promotion bill may potentially be processed in the coming months.

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  1. ICTA is a wholly owned institution by the Government of Sri Lanka, established to implement the e-Sri Lanka Development Project funded by the World Bank from 2004 to 2011.