A Protectionist Budget – Eran Wickremaratne

By Camelia Nathanie

UNP MP Eran Wickremaratne said that if statistics can make an economic miracle, Sri Lanka has already achieved it. He said that the budget for 2015 claims that inflation is at very low single digit, and that the budget deficit is below 4 per cent, and that there is a drastic poverty reduction, even in the plantation sector.

“These are, however, far from the truth. It’s an inward looking, protectionist and a giveaway budget, full of promises of pensions, subsidies and concessions. Clearly it is aimed at an election. The give-aways included vehicle duty reductions for Sri Lankans working overseas, the elderly, unemployed, and others. More government jobs are in the offing. Guaranteed prices have been offered for agriculture products,” he added.

But he pointed out that the private sector and the export sector will continue to be subservient to other socio political objectives. There is much talk about development and modernization but these words were not matched with numbers, charged Wickremaratne.

“The increase in technology and research expenditure was a paltry Rs. 500 million. A country building technological and innovative capacities should be spending about 1 per cent of its GDP. Sri Lanka’s biggest problem is the absence of the rule of law. There is no recognition in the budget that the public justice system needs investment. But the proposal to give dual citizenship and 5-year visas to returning Sri Lankans is a progressive one,” he said. l