News
Govt. not allocating enough funds to grant relief to public–Economist
By Rathindra Kuruwita
The Sri Lankan government was not allocating funds to ensure the availability of essential public goods despite the gradual stabilisation of the economy, Prof. Priyanga Dunusinghe, of Department of Economics at the Colombo University said addressing the media.
“The government has to maintain roads, provide healthcare and education, security, etc. I don’t see the government allocating the required funds. On the other hand, the prices of goods and services are high, and interest rates are high. So, despite the stabilisation of the economy compared to 2022, the policy makers have a lot to do to ensure that the outlook remains positive in the medium and long term,” he said.
Prof. Dunusinghe said that the Central Bank had played a key role in reducing inflation. The interest rate increase had been painful but necessary to put an end to runaway inflation, he said.
“The government’s tax policy is also important in increasing its revenue. I know that tax hike has impacted a lot of people adversely, and they are angry. However, these hikes were necessary.
He said that the Customs, Inland Revenue Department and the Excise Department had remained inefficient for a long time.
“However, recent declarations by ministers in charge of finance about special acts and regulations are mere rhetoric. However, they have not done what’s needed to reform these institutions. It is obvious that the Central Bank and Finance Ministry is doing the heavy lifting when it comes to economic stabilisation, under IMF conditions. Other ministers have done precious little to help. What has the Export Development Board, Tourism Authority or the Board of Investment done? Without everyone doing their part we can’t overcome this crisis in a sustainable manner “he said. (RK)
Prof. Dunusinghe said most MPs have no interest in reducing the perks they enjoy. In fact, some of them are only interested in profiting from the current crisis. The onus of austerity is on the people and that this has created anger, he said.
“We are taking some steps because the IMF asks. However, there is no discussion or consideration of how these policies will affect the development trajectory of the country. There is no plan. For example, we need to think about reforming the Ceylon Electricity Board in a manner that contributes to the national economy better. However, we are trying to reform the Board so that the burden on the government lessens. There is no consideration of the bigger picture,” he said.
Parliament needs to come up with more stringent fiscal and budget regulations , so that governments can’t deviate from the set path.
“We must use the crisis to bring about a rules based order when it comes to fiscal and monetary affairs. It’s not possible to separate the economy and politics. Politicians and senior bureaucrats have become a privileged class, and this unfortunately has attracted undesirable people. We need to get rid of these privileges, if we want to bring in honest people,” he said.
As part of the official visit to London for the 43rd Commonwealth of Learning (COL) Board of Governors Meeting 2026, the Prime Minister of Sri Lanka, Dr. Harini Amarasuriya, held discussions with academic experts from the British Council on Wednesday [20 May 2026].
The discussions focused on strengthening cooperation in education, particularly in the areas of teacher training, English language programmes, education frameworks, and language acquisition skills.
The British Council shared international experience and highlighted its ongoing engagement in Sri Lanka, while expressing readiness to support the country through technical assistance, teacher development initiatives, and policy collaboration.
Discussions also included views on improving quality assurance, expanding research collaboration, and enhancing learning opportunities.
The Prime Minister appreciated the British Council’s continued engagement in Sri Lanka and reiterated the importance of deepening partnerships.
[Prime Minister’s Media Division’
Prime Minister Dr. Harini Amarasuriya, who is currently on an official visit to the United Kingdom, met with members of the Sri Lankan community living in London on Wednesday [20th] and engaged in cordial discussions.
Despite the event being held on a weekday, it was notable that nearly one thousand Sri Lankans representing the Sinhala, Tamil, and Muslim communities attended with great enthusiasm.
Addressing the gathering, Prime Minister Dr. Harini Amarasuriya stated that despite natural disasters and international crises, the present government has succeeded in stabilizing the country’s economy while providing relief to the people. She further noted that Sri Lanka’s political culture has now undergone a positive transformation that is irreversible.
Minister of Women and Child Affairs Saroja Paulraj, addressing the event, stated that a governance system has now been established in the country where all communities are treated equally and the benefits of economic development are shared fairly among all citizens.
Moving away from the traditional method of political gatherings, the event also provided an open platform for members of the Sri Lankan community to directly raise questions and express their views to the Prime Minister and the Minister.
Commenting on the organization of the event, the organizing committee stated that all expenses, including dinner, were borne by the participants themselves. The organizers further remarked that it is unsurprising that opposition groups, accustomed to organizing such events through the misuse of public funds, appear unsettled by this transparent process.
The occasion was attended by the Minister of Women and Child Affairs Saroja Paulraj and Sri Lanka’s High Commissioner to the United Kingdom, Nimal Senadheera.
[Prime Minister’s Media Division]
Prime Minister Dr Harini Amarasuriya currently undertaking an official visit to London, United Kingdom, to participate in the 43rd Commonwealth of Learning (COL) Board of Governors Meeting 2026 held a bilateral meeting with the Yvette Cooper MP, Foreign Secretary of the United Kingdom ON Wednesday [20]. The Prime Minister was accompanied by Sri Lanka’s High Commissioner to the United Kingdom, Nimal Senadheera, along with officials from the Sri Lankan High Commission.
During the meeting, the Prime Minister conveyed Sri Lanka’s appreciation to the United Kingdom for the support extended in the aftermath of Cyclone Ditwa, including ongoing rebuilding and recovery assistance. The Prime Minister also commended the United Kingdom’s support in facilitating increased bilateral trade and exports for Sri Lanka.
The Prime Minister briefed the UK delegation on Sri Lanka’s recent economic developments and policy priorities, the Government’s commitment to advancing human rights and reconciliation, as well as Sri Lanka’s positive growth trajectory.
The two sides also exchanged views on current global geopolitical developments, challenges in the energy sector, and the importance of enhancing regional connectivity and long-term energy security.
Both sides also emphasised the importance of strengthening structured academic mobility frameworks while ensuring fairness, clarity, and integrity within migration systems.
They also reaffirmed their commitment to further strengthening bilateral cooperation between the two countries in areas of mutual interest.
[Prime Minister’s Media Division]
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