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President addresses VAT increase and economic stability at industry excellence awards ceremony

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President talking to founder Chairman of Pussalla Meat Producers (Pvt) Ltd, Philip J. Wewita

President Ranil Wickremesinghe, on Wednesday night, speaking at the National Industry Awards ceremony, acknowledged the challenging decision to increase the Value Added Tax (VAT) to 18 percent, emphasising the imperative need to maintain economic stability.

National Industry Excellence Awards 2023 was held at the Nelum Pokuna Theatre in Colombo. President Wickremesinghe stressed the importance of leadership built on honesty and transparency with the people.

President Ranil Wickremesinghe went on to announce his intention to propose loan concessions in the upcoming budget, specifically aimed at supporting small and medium-scale industrialists, with the aim of bolstering Sri Lanka’s export-oriented manufacturing sector.

The awards ceremony was held to recognize and honour 300 successful entrepreneurs across various categories, including platinum, gold, silver, and bronze awards, from a pool of over 4,000 industrial entrepreneurs who had competed in 21 major industrial sectors and 61 sub-industrial sectors.

President Wickremesinghe also addressed the challenges faced by industries in 2022, citing issues such as power shortages and difficulties in obtaining bank loans that led to the closure of many businesses. Despite these challenges, he noted the resilience of numerous individuals who managed to revive their industries and achieve success, particularly in the small and medium-scale sector.

The President stressed the importance of addressing ongoing concerns related to bank loans and market access, with a focus on supporting small and medium-scale industries in the upcoming budget.

President Wickremesinghe revealed ongoing discussions with international financial institutions, including the International Monetary Fund (IMF), and creditors to devise comprehensive strategies for revitalizing the nation’s economy.

The President emphasized the significance of consistently increasing income to meet loan repayment commitments and to gain the trust of private and multilateral creditors. He pointed out that a substantial portion of the next year’s budget would be allocated to debt repayment and interest payments, underscoring the paramount importance of safeguarding the country’s currency and fulfilling loan obligations.

President Wickremesinghe also explained the necessity of the decision to raise the VAT to 18 percent, aligning Sri Lanka’s practices with countries like India and Pakistan. He acknowledged that such decisions, while difficult, are essential for the country’s well-being, even if they attract public criticism.

In closing, the President reaffirmed his commitment to rebuilding the nation without reverting to dependency on external support, emphasizing that the path may be challenging, but he is confident that positive results will be achieved in the next two to three years through negotiations with international financial institutions, including the World Bank.



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Judicial vacancies: President keeps country guessing

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The NPP government has not taken a final decision regarding filling of the vacancies in the judiciary.

A group of Opposition MPs, led by SJB leader Sajith Premadasa, on 12 June, requested Speaker Dr. Jagath Wickremeratne to take up the issue of judicial vacancies with President Dissanayake. Opposition sources said that there were four vacancies, each in the Court of Appeal and the Supreme Court, and the inordinate delay had adversely affected the judiciary.

Government sources indicated that there was no change in the status quo as regards filling of vacancies. Referring to the government proposal to extend the retirement age of judges, authoritative sources said that no final decision had been taken yet.

SJB lawmaker Dayasiri Jayasekera told The Island that they would raise the issue in Parliament this week.

He said that the deliberate delay in making appointments to superior courts and the move to extend the retirement age couldn’t be taken separately.

The MP noted that the Bar Association of Sri Lanka, the Lawyers’ Collective, the Colombo High Court Lawyers’ Association, Colombo Magistrate’s Court Lawyers’ Association and the Bar Association of Badulla had opposed the government move.

There hadn’t been any public statements in support of the government move, MP Jayasekera said, urging the government to end uncertainty in the judiciary.

by Shamindra Ferdinando

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Sajith calls on Opposition parties to rally around SJB

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SJB leader Sajith Premadasa has invited the UNP and other political parties to join his party. Premadasa, who is also the leader of the Opposition, has emphasised that the UNP and the SJB could reach a consensus on policies but his party wouldn’t, under any circumstances, accept whatever formula to share positions. Premadasa said so, speaking to the media over the weekend, after meeting the Mahanayaka Thera of the Malwatta Chapter of the Siyam Nikaya Most Venerable Thibbatuwawe Sri Siddhartha Sumangala Thera.

A statement issued by the Opposition Leader’s Office quoted MP Premadasa as having extended an invitation to all political parties to give up extremist policies and join the SJB.

The SJB leader alleged that the NPP government feared facing elections and that was the reason for the inordinate delay in holding Provincial Council polls. PC polls were last held in 2012, 2013 and 2014, on a staggered basis. Premadasa said that if PC polls were held his party would definitely win the majority of PCs.Premadasa also urged the government to reduce electricity tariffs and fuel prices.

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Ex-EC Chief slams govt. over PC polls delay

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Deshapriya

Former Chairman of the Election Commission, Mahinda Deshapriya, on Saturday, strongly criticised the continued postponement of local government elections, declaring that every day without elections constitutes a violation of both the Constitution and democratic principles.

Speaking during an interview with journalist Bhanuka Rajapaksa, on Hiru TV, on Saturday, Deshapriya described the current administration of local government institutions by unelected officials as fundamentally undemocratic and contrary to the spirit of representative governance.

Deshapriya said local authorities, across the country, are presently being managed by secretaries and bureaucrats rather than elected representatives, depriving citizens of their democratic right to be governed by individuals, chosen through the electoral process.

“If the Constitution recognises and provides for local government institutions, then it is the responsibility of the State to ensure that elections are held and that these bodies are administered by representatives, elected by the people,” he said.

Deshapriya rejected attempts to justify the prolonged delay, arguing that responsibility for the situation rests with the government.

He noted that while various political parties have publicly stated their readiness to face elections, the ruling administration possesses the authority to resolve any issues relating to the electoral system.

The former Election Commission chief pointed out that the government enjoyed a two-thirds majority in Parliament, enabling it to enact any legislative amendments required to facilitate the conduct of elections. Instead, he said, successive committees and review processes had been used to postpone a final decision.

He also referred to efforts by opposition legislators who have moved motions seeking to address concerns relating to the electoral framework and expedite the holding of local government polls.

Deshapriya warned that any attempt to appoint a fresh delimitation committee could further delay the electoral process, making it unlikely that local government elections would be held within the current year.

He also dismissed claims that financial constraints have prevented the conduct of elections. Expressing surprise at such assertions, he questioned how funding shortages could be cited as a reason for postponement while expenditure continues in other sectors.

According to Deshapriya, the existence of laws establishing local government institutions imposes an obligation on the State to ensure that those institutions are populated through democratic means.

“The legal framework exists. If elected representatives are not appointed through elections and institutions continue to function under unelected administrators, that is a failure of the State,” he said.

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