News
Cabraal stresses need to be mindful of country’s economic health
‘Govt. has proved doomsayers wrong by taking appropriate action’
by Saman Indrajith
State Finance Minister Ajith Nivard Cabraal told parliament on Friday (23) that while dealing with the Covid-19 pandemic, the country should be mindful of the sustenance of its economy as well.
Cabraal noted that the Covid-19 pandemic had taken the world by surprise. “It was a great shock to the entire world. No one was prepared for it and it was a big question in everyone’s mind how we should deal with it, what effects it would have on the economy, etc. However, we had to take certain short-term measures Had these decisions not been taken, it would have been a grave hindrance to the country’s progress.”
Minister Cabraal said the government had wasted no time in identifying the priorities and understood that the pandemic would not end anytime soon. But, the issue of how the government was going to address the economic repercussions had also come up, he said.
“That is the reason we had to impose certain import restrictions. It was important to take some tough decisions in order to maintain our economic stability. Many thought that it would not be possible to manage the economy and the rupee would devalue and the economy would collapse.”
Some wished for the collapse of the economy while shedding crocodile tears, he said, adding that even during the war some people had expected the economy to go belly up.
Minister Cabraal said that today there was a new normal and the country needed to adapt to it. “Sometimes, we may have to change our attitudes. We were able to overcome these adversities and even relax some of the import restrictions. Although many thought we could not handle it we have managed to do so. We have also managed to pay back our debts and even get the required medical supplies.”
The Minister pointed out that despite bleak predictions by many that the country would crumble in the face of the COVID-19 pandemic, the government had managed to steer the country through it all and overcome those challenges. “The IMF, World Bank and ADB had made bleak predictions in their regional reports regarding Sri Lanka’s ability to face the impacts of the Covid-19 pandemic. In addition, they had predicted Sri Lanka would record poor exports, tourist arrivals, foreign earnings from migrant workers, high interest rates, higher trade deficit and inability to meet foreign debt repayments, etc. However, despite these predictions, the government and all state institutions worked hard and took measures to face this situation. As a result, these institutions have exceeded expectations and produced results. The rupee did not collapse the way they expected. We continued to pay back loans.”
The Minister added that even the unemployment rate had decreased from 5.7 to 5.4, according to the second quarter statistics released by the Census and Statistics Department. He noted that exports had grown to pre-COVID levels.
Power sector workers shouldn’t be granted year-end bonuses
Leader of the Eksath Janaraja Peramuna (EJP) and former Power Minister Patali Champika Ranawaka said that CEB workers shouldn’t be granted year end/Christmas bonuses as they had not contributed to the much favourable current financial status of that state-owned enterprise.
Ex-parliamentarian Ranawaka said that the CEB had earned massive profits solely by implementing extremely unfair tariff structure, therefore workers shouldn’t be paid bonuses.
The former Minister was addressing the media at the EJP Colombo office. Referring to official records, the EJP leader said that the CEB had earned a profit of Rs. 6161 mn in 2023 and also saved Rs. 36 bn. So far this year (January to November), the CEB had recorded Rs. 263 bn profit but the government continued to fleece consumers.
Ranawaka also questioned the failure on the part of the government to provide electricity consumers relief as decided by the Cabinet during the previous government that there would be quarterly revision of pricing formula.
Ranawaka said that the government should explain why it couldn’t decrease fuel prices by a significant amount. The NPP administration should at least admit that it couldn’t do away with the current unbearable tax regime. The ex-parliamentarian asked the NPP to acknowledge that the government feared collapse in case of abolition of heavy taxes on fuel.
The ex-Minister challenged the NPP to prove accusations that had been directed at ministers of previous governments without propagating allegations. According to Ranawaka, both diesel and petrol prices remained high as the government levied Rs 50 and 72 on diesel and petrol, respectively, in addition to 18% VAT (Value Added Tax).
Ranawaka pointed out that in addition to Ceypetco, IOC and Sinopec had been levying taxes heavily with diesel (Rs 88-94) and petrol (Rs 110-117) imports per litre (SF)
A person who had been apprehended by protesting Development Officers during a noisy demonstration outside the Education Ministry at Isurupaya and handed over to police was subsequently identified as a member of the Military Intelligence.
Police said that those demanding they be made permanent in the teaching service alleged that the apprehended man allegedly caused injuries to policemen deployed at the scene.
A Sub-Inspector of Police (SI) and two constables were injured. (HR)
Muhammathu Saali Naleem was sworn in as a member of the Tenth Parliament yesterday before Speaker Dr. Asoka Ranwala.
Following the oath taking, Naleem signed the Members’ Roll in the presence of Secretary General of Parliament, Kushani Rohanadeera, marking his formal induction into the legislative body. Naleem was appointed as a National List Member of Parliament, representing the Sri Lanka Muslim Congress (SLMC).
The inaugural session of the Tenth Parliament took place on November 21st, 2024, with members taking their oaths the following day. On November 22nd, the Election Commission issued a gazette notification confirming Naleem’s appointment to the National List of the SLMC, paving the way for his oath-taking ceremony yesterday.
Before entering Parliament, Naleem served as the Chairman of the Eravur Urban Council, bringing valuable local governance experience to his new role as a lawmaker.
Jaker, Taijul and Rana script Bangladesh’s first win in West Indies since 2009
Afghan women ‘banned from midwife courses’ in latest blow to rights
South Korea president backs down from martial law order after MPs vote to block it
-
News6 days agoDialog Smart Home Celebrates Continued Partnership as Gold Sponsor for Kadella 2024
-
Editorial4 days agoGreed for diplomatic appointments
-
Business7 days agoCurrent deflation situation would not adversely impact economy – CBSL Governor
-
News7 days agoFirst-ever floating solar photovoltaic power plants operational
-
News3 days agoAKD gladdens Ranil’s heart
-
Business3 days agoCentral Bank aware of upside and downside risks to its inflation projections
-
News6 days agoEx-Northern Governor: Deployments prerogative of armed forces
-
Editorial7 days agoShadow education in spotlight