Ranawaka warns of imminent social explosion over taxation woes

United Republic Front (URF) Leader and MP, Patali Champika Ranawaka, issued a stark warning in Parliament on Wednesday, emphasizing the likelihood of another social upheaval in the coming months if the government does not eradicate burdensome taxes.

During the second reading stage debate on Budget 2023, Ranawaka highlighted the escalating anger and frustration among the populace, underscoring the daily deterioration of the country’s situation. He expressed grave concerns over the proposed budget’s expansion of VAT, social security taxes, and introduction of property and inheritance taxes, asserting that these measures would only exacerbate public distress.

Ranawaka stressed the urgency to collect outstanding taxes, amounting to a trillion rupees, instead of imposing additional taxes. He cautioned that imposing taxes without rectifying the collection inefficiencies would plunge the public into further crisis, potentially leading to a social explosion.

Citing the borrowing plan outlined in the budget, Ranawaka called the projections ‘dreams,’ citing the government’s inability to secure agreements with foreign creditors, leading to missed loan installments and economic hardships.

The URF Leader also raised concerns about the exodus of educational and professional talent due to excessive taxes, leading to a depletion of human capital and an emerging ‘human desert’ in the country.

He warned that the ongoing trends could result in yet another social explosion, urging swift and intelligent action to prevent such a crisis. Ranawaka drew parallels to previous warnings issued about impending crises, emphasizing the need for proactive measures to avert further turmoil.

“I am warning you that another social explosion is imminent. On November 17, 2021, during the debate on Budget 2022 in this parliament, I forewarned Basil Rajapaksa that it would be his final budget. I informed Sarath Weerasekera that there would be an uprising of people and his police force would not be able to stop it. I predicted that there would be an energy crisis in this country by next March. “Today, I am warning that we are heading towards another social explosion. This country is on the brink of turmoil once again. To prevent it, we all must act intelligently and swiftly,” stated Ranawaka.