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Friday Apr 26, 2024
Wednesday, 9 May 2018 00:00 - - {{hitsCtrl.values.hits}}
By Lal Gunatunga
Delivering his Government’s Economic Policy Statement in Parliament on 5 November 2015, Prime Minister Ranil Wickremesinghe stated: “Our final goal is to improve and enhance the living standards of the people; it is the goal for which we have obtained the approval of the people at the election. The two main political parties in the country have come together to form a National Government of Consensus. The main objective in forming a National Government is to provide a common platform to deliver long term social economic solutions that can solve the key problems of the country. This would be towards achieving stability and embark on a speedy journey of progress. We may not get another opportunity such as this.”
Indeed, this was the sentiment shared by many on the day. That here was our best chance at achieving meaningful and tangible change under a national banner. Three years later, some of that movements staunchest supporters lament what they now term a distressing nightmare.
The political cracks in the coalition was inevitable; statesmen and women are all but dead in our nation, which is dominated by inept and immoral politicians offering no value, thus, the hustle for power and place presented no surprise. However, there still lay anticipation and hope for an economic revival; the foundation of suitable policy for sustainable development. But once again our public and enterprising community was left with nothing but disappointment and desperation.
There is gross disconnect between policymaking and ground realities, and these are impacting the growth prospects of the nation. They are impacting our future, and those of our children – of right-minded Sri Lankans I dare say. Decisions are clouded with personal political agendas and misinformation, there is no visible ‘science’ behind anything. All these despite the presence of bright young minds within the halls of cabinet on both sides of the divide, which gives life to thought as to what really drives these actions of inaction.
Most recently, the Government removed the ban of glyphosate for the tea and rubber industry almost six months after the European Union voted to extend glyphosate use. The ban which came into effect in June 2015 even before the vote in Europe and with no ban in the US, has lost the tea industry over Rs. 20 billion in revenue. The Government offered no alternative to the agriculture sector of the country when it implemented the ban, a move based on inconclusive evidence offered by vested parties. How will it compensate the losses of farmers, the industry and the nation?
Last month’s assault on Dutch tourists and its aftermath is the mere tip of an iceberg that has plagued our shores and tourism trade for decades. Illegal establishments, beach-boys, three-wheelers, sexual predators and conmen have troubled and tarnished the tourism trade and tourists for years under political cover.
The industry has made many representations to local politicians and authorities, but with little or no action taken threats were then issued to licensed operators by locals. Just look at the ball-passing that is taking place even now over Mirissa by politicians. Any illegal operation must be expunged immediately.
At present, the Government is setting a very bad precedent and doing so openly, that political patronage can help criminals to do wrong but still ride a wave. How can we expect to develop a generation of right-minded citizens when the leadership is blatantly violating our laws? Ultimately, nothing would happen again and it is the industry, the nation and our image that suffers. How can we earn foreign exchange from tourists and an industry, when you are unable to provide for their basic protection?
There is little ‘science’ or thought behind some of the economic considerations of the government, akin to some of its recent reshuffled appointments. This was also reflected in a recent proposal to ban the sale of cigarettes at retail outlets within 100 metres of schools. How will retailers or authorities establish benchmarks with respect to distances?
How broad will be the definition of schools? How will this be policed? Does it cover cigarettes or beedis as well, if it doesn’t cover beedis on what basis is it provided exemption? How will the government compensate the losses of retailers? How will the Government cover its own projected losses from such a move, will it have to increase taxation on another front?
Is it ethical to curtail the sale and access of a legitimate product which has a substantial base of consumers, and what of its impact on tourism? Will such a move really prevent youngsters from accessing cigarettes, notwithstanding there already exists a ban on sales to persons under 21?
According to media reports, tobacco retailers say that 90% of outlets will be impacted should such a law be enacted, which would then translate to a loss of Rs. 100 billion in revenue to government. There is little or no evidence to suggest that the authorities considered the full eco-system and impacts in its proposal, but instead merely driven by popularity which spells a difficult aftermath across the economy.
The despondent and depressing state of our National Carrier serves as another embarrassment. The SriLankan problem is the creation of successive governments and politicisation. It is overstaffed with the wrong people, under-resourced, mismanaged and badly governed. But what is baffling is that the institution was blatantly allowed to crumble further rather than recover.
In addition to the financial and operating crises plaguing the airline, it was revealed that SriLankan flights present a safety hazard to flyers due to maintenance issues. Who will take responsibility for these misgivings? In the new Board led by Ranjith Fernando we see renewed hope, but there is concern it has come a little too late.
A nation’s economic advancement goes hand-in-hand with the development of a disciplined law-abiding society. The news and views on the streets of Colombo and beyond offer ample views on the decadence of justice and values in our society. Economic advancement will do little to a people who cannot comprehend, appreciate or understand the value of what’s taking place around them, and lack knowledge on how to take advantage of opportunities.
During Vesak week, under the influence of the full moon, groups of youth were seen sexually harassing passers-by, alongside verbal and physical abuse and violating a myriad of day-to-day laws. All this whilst the Police looked on. Part of the problem here is that the Police personnel (especially in junior ranks) are a product of that very society – this for them is fun and games; this for them was right!
Development, in its real sense, is still far away from Sri Lanka. This is a commonly-acknowledged fact amongst the established and learned corridors of enterprise, Government and civil society. But we are hardly doing enough to lay its foundation.
We must develop an all-encompassing plan as opposed to working in silos. It must address all economic, legal, social, ethnic and religious concerns in a broad overarching document, or roadmap, that has the support of all parties.
On the economic front, as per the World Bank, “to get there, Sri Lanka must maintain macro-fiscal stability and increase its resilience to natural disasters. While pursuing structural reforms to promote competitiveness and attract more FDI, the country cannot afford to forget its poor or vulnerable. Its best chance of success lies in an ambitious and challenging shift from a public investment, non-tradable sector-driven growth model to a more private investment, tradeable sector-led model.”
But the private sector is not receiving the necessary support from the Government to drive that ‘engine of growth’. It is instead kept waiting in a mire of political and economic uncertainty, as our politically mature leadership is still immature to see beyond the lure of power derived from a largely irrational voter base.
With little over a year-and-a-half left for the incumbents, there is very little to anticipate. The miracle of a National Government came but has failed to deliver the promised salvation. We need better people, better humans, to take the helm. Right-minded Sri Lankans have long-awaited the turn for their nation to take a proud place on the global stage, and we are tired of this eternal wait.
(The writer is a retired superintendent of government and private plantationorganisations, and counts over 40 years of experience in the Central and Southern Provinces, engaged in plantation administration and operations. He can be reached at [email protected].)
