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Sri Lanka Growth Strategy 2022: Need for building consensus at different levels stressed
Economists and financial experts from diverse sectors highlighted the need for building consensus at multiple levels on Sri Lanka’s growth strategy and implementing sustainable solutions to the challenges faced by the economy.
Speaking at the forum ‘Sri Lanka Growth Strategy 2022’ organised by NextGenSL and World Bank, recently, World Bank Chief Economist for South Asia Region Hans Timmer, World Bank Country Director for Maldives, Nepal and Sri Lanka Faris Hadad-Zervos, former Chairman Ceylon Chamber of Commerce and Senior Vising Fellow at Pathfinder Foundation Rajendra Theagarajah, Economist Dr. Roshan Perera, CEO of People’s Leasing and Finance Shamindra Marcelline and Group Finance Director at Brandix Hasitha Premaratne shared their insights.
“Sri Lanka needs a broad-based dialogue to navigate the current challenges,” World Bank Chief Economist for South Asia Hans Timmer said delivering the keynote address at the event.
Timmer reminded that Sri Lanka faced monumental challenges after the country went into a lockdown in March 2020 with both the manufacturing sector and the service sector suffering its impact. He also pointed out that this led to a huge increase in social protection spending as the government prioritised helping households hit by the economic impact of the pandemic.
The World Bank Chief Economist for South Asia identified the informal sector and the new service segment of the economy as the key drivers of change that will help Sri Lanka realize its true potential.
“Sri Lanka has more opportunities to emerge stronger from the current challenges when compared to other countries in the region. The country can unleash its potential by tapping into the opportunities in the informal sector and in the new service economy,” he explained.
“The informal sector was hit hard in the aftermath of the pandemic and the people involved in the sector became more vulnerable because they were not well integrated into the market. But, it is also important to understand that a ‘crisis’ could also change these dynamics,” Timmer said adding that the rapid development in the digital technology could provide the informal sector with more avenues to access the market.
“Sri Lanka’s new service economy also presents great opportunities. Services are internationally tradable and they push productivity in other sectors. Sri Lanka has greater competitive advantage in the service sector, as the latter is a very strong component of the country’s economy. Also, the percentage of women in the labour force is higher than in many other countries in the region. Nearly 50% of Sri Lanka’s labour force are women,” he explained.
The World Bank Chief Economist for South Asia also commended Sri Lanka’s vaccination drive and said the success the country achieved on the vaccination front could also help its growth trajectory.
Speaking at the panel discussion, former Chairman of the Chamber of Commerce R. Theagarajah stressed the need for finding a lasting solution to ensure debt sustainability.
“If we look at the next 4-5 years, we have to pay USD 4.5 billion annually and it is a challenge we must overcome with sustainable solutions. While the export sector is showing a rebound, the import sector is facing challenges. I am also happy to see that the tourism sector is showing rapid progress presenting opportunities for everyone in the tourism value chain. However, there is a need to build capacity in the tourism sector to ensure continuous growth,” he said. Theagarajah also highlighted value-added ICT solutions as a key driver of Sri Lanka’s growth in the future.
“But, it is critically important to build consensus in the political sphere on the need for structural changes. Without such initiatives, views expressed at economic forums will not result in a major shift on the ground,” he added.
Dr. Roshan Perera, a senior economist with over 20 years of experience in formulating and implementing macroeconomic policies expressed views on broad-basing Sri Lanka’s tax base. “There are two aspects to this. We must first identify the actions that have eroded our tax base in the past and then ‘rationalize’ the tax exemptions granted to various parties.”
“I don’t think a programme designed by the International Monetary Fund (IMF) will be very different to a programme designed by Sri Lankan economists. What is more important here is to understand what needs to be done and to work together to make them happen.”
World Bank Country Director for Maldives, Nepal and Sri Lanka Faris Hadad-Zervos highlighted the importance of a youth-led approach for growth. While commending the progress in the vaccination process, he stated that Sri Lanka must find cost-effective solutions to reverse the ‘damage’ caused by the pandemic. “Focus on productivity, revitalize the private sector and strengthen social welfare schemes,” he said.
“Sri Lanka must have its own narrative and that will shape the country’s growth trajectory,” the Country Director added.
People’s Leasing and Finance CEO Shamindra Marcelline said the role of the state sector should not be undermined in identifying Sri Lanka’s growth prospects. “I believe that the public sector is the engine for growth in Sri Lanka — not the private sector. If you look at it carefully, a number of key sectors such as aviation, ports, education and health are completely dominated by the state. Therefore, increasing efficiency in the state sector will make a massive impact on Sri Lanka’s growth trajectory,” he said.
Brandix Group Finance Director Hasitha Premaratne said that while the pandemic came with multiple challenges, its ‘benefits’ such as the shift towards virtual working environments and the fast tracking of digitalization have opened up new avenues for the private sector. “We must continue this journey, in a sustainable manner, into the future.”
“If the government can support infrastructure development, the private sector is in a position to drive growth,” he said.
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Sun directly overhead Neriyakulam, Punewa, Kebithigollewa, Pankulam and Sinhapura at about 12.10 noon today (31)
The sun is going to be directly over the latitudes of Sri Lanka from 28th of August to 07th of September due to its apparent southward relative motion.
The nearest places of Sri Lanka over which the sun is overhead today (31) are Neriyakulam, Punewa, Kebithigollewa, Pankulam and Sinhapura about 12.10 noon.
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BASL takes exception to Justice Ganepola being denied a place in SC
… highlights injustice caused to Justice R. Gurusinghe
The Bar Association of Sri Lanka (BASL) has alleged that due to the failure on the part of President Anura Kumara Dissanayake to fill the existing vacancies in the Supreme Court, a Senior Justice of the Court of Appeal, Justice Dhammika Ganepola, retired at the age of 63 without being considered for, or granted, a promotion to the Supreme Court, to which he was well entitled. The BASL pointed out at the time of Ganepola’s retirement there were four vacancies in the Supreme Court.
In a letter dated 17 August, 2026, addressed to President Dissanayake, the BASL declared that the failure to promote and recognise Ganepola’s distinguished judicial service, resulting in his retirement at the age of 63, is indeed a loss to the Judiciary.
A top BASL spokesman told The Island yesterday (30) that the Bar Council, over the weekend, had decided to release the hitherto confidential letter.
The official said that they also wanted to remind the President of his assurance given to BASL, on 12 August, 2026, that vacancies in the Supreme Court and Court of Appeal would be filled as soon as possible, within a month.
The following is the text of the BASL letter, signed by Rajeev Amarasuriya, President, BASL, and its Secretary Nalin De Silva: “We write further to our letters dated 29th December 2025 and 30th June 2026 in relation to the above, to which we have not received any response.
We also refer to our meeting with Your Excellency on 12th August. As discussed during the meeting, there have been vacancies in the Supreme Court since May 2025, and the number of vacancies has now increased to four (04). There are also four (04) vacancies in the Court of Appeal. These are all matters we have already written to Your Excellency about.
Your Excellency informed the BASL Delegation when we met that you would be taking steps to make recommendations to fill these vacancies as soon as possible, within a month.
We write to reiterate the importance of giving due consideration to the criteria set out in our aforesaid letter dated 29th December 2025. We also wish to emphasise that, in making judicial appointments and promotions, seniority should be given due priority, in keeping with longstanding practice, until such time there are objective and defensible guidelines governing the assessment of merit.
The only justifiable departure to this criterion would be where there exists a specific and recognized demerit in respect of the particular Judge concerned or such other known compelling circumstances that are objectively identifiable such as where a Judge has previously been overlooked for promotion unfairly or conversely, where a Judge has been unfairly previously granted promotions above others.
This approach will safeguard both the integrity of the Judiciary and the trust reposed in it by the public.
Further, while there has been considerable discussion and representation by the Government regarding the importance of retaining experienced judges, as reminded to Your Excellency at our said meeting that, only a few months ago on 8th May 2026, a Senior Justice of the Court of Appeal, Justice Dhammika Ganepola, retired at the age of 63 without being considered for, or granted, a promotion to the Supreme Court, to which he was well entitled, and in which there were four vacancies at the time.
The failure to promote and recognise his distinguished judicial service, resulting in his retirement at the age of 63, is indeed a loss to the Judiciary.
We also drew Your Excellency’s attention at the said meeting to the fact that the Senior-most Justice of the Court of Appeal, Justice R. Gurusinghe, who joined the Judicial Service in 1996, who also Acted in the Office of President of the Court of Appeal (appointed by Your Excellency) on 11th May 2026, is due to retire at the end of this month. In fact, we learnt through the Media that Her Ladyship then Chief Justice Justice Murdu Fernando, PC, had previously in July 2025 recommended to Your Excellency the promotion of Justice R. Gurusinghe to the Supreme Court, but the same is pending from that time.
He too is well deserving of promotion to the Supreme Court and has already been recommended by the former Chief Justice, and his case must also receive due and urgent consideration before his impending retirement.
We hope that Your Excellency will take due note of and give due regard to the concerns of the Bar, as well as to the established principles, practices and conventions governing judicial appointments, when taking steps to fill these vacancies.
On this, Your Excellency is already open to the accusation that these vacancies have been kept open, to fill with favourites of the Government which is yet another serious indictment on the independence of the judiciary which accusation would be confirmed if recommendations are made outside established practice.
Moreover, the BASL expresses grave concern that withholding promotions of Judicial Officers for extended periods of time places undue pressure on Judicial Officers in the discharge of their duties and constitutes both directly and indirectly, interference with the independence of the Judiciary, in addition to the strain obviously caused to the dispensation of justice in other Courts and the stifling and delay of career progression of Judges legitimately entitled to promotions.
We do hope that Your Excellency would take due note and cognizance of the foregoing when effecting these judicial promotions which have been long overdue and which have already adversely impacted the efficiency and effectiveness of the administration of justice.”
The BASL has copied the letter to Prime Minister Dr. Harini Amarasuriya, Speaker Dr. Jagath Wickremaratne, Opposition Leader Sajith Premadasa and all members of the Constitutional Council.
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Sajith challenges govt. to hold PC polls
Opposition Leader Sajith Premadasa on Saturday (29) challenged the government to hold the long-delayed Provincial Council elections, saying the polls would provide an opportunity to gauge the level of public support enjoyed by the administration.
Addressing a farmers’ meeting in Tissamaharama, Hambantota, Premadasa also criticised the latest Rs. 17 per kilogram increase in wheat flour prices, warning that it would push up the prices of bread, bakery products and other flour-based food items and place further pressure on households already struggling with the rising cost of living.
He said Sri Lanka ranked 120th among 130 countries in an international comparison of minimum wages, arguing that wages remained inadequate to meet the escalating cost of living.
Premadasa also questioned official assessments of living standards, asking whether a person could survive for an entire month on Rs. 17,315, a figure he attributed to the Department of Census and Statistics.
He claimed that between 30 and 40 percent of the population was living in poverty and called for a clear programme to help affected families improve their economic conditions.
Turning to the proposed 22nd Amendment to the Constitution, which seeks to increase the retirement age of superior court judges, the Opposition Leader accused the government of attempting to undermine judicial independence and interfere with democratic institutions.
He also criticised the government’s handling of poverty, employment, agriculture, healthcare and investment, saying more effective measures were needed to provide relief to people facing economic hardships.Premadasa called for stronger policies to attract foreign direct investment and urged the government to formulate a national strategy for developing the tourism industry.
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