Eran says Budget 2023 fraught with ideas but no practical solutions

Thursday, 17 November 2022 02:05 - - {{hitsCtrl.values.hits}}

Main Opposition MP Eran Wickramaratne

Main Opposition MP Eran Wickramaratne yesterday in Parliament alleged that the 2023 Budget presented by President and Finance Minister Ranil Wickremesinghe as one fraught with lofty ideas without practical solutions.

The MP said as a result, the Budget has made the Parliament and the people of the country walk in a dream among the stars. “But when we wake up from sleep, it seems that the whole country has been pushed towards abysmal,” Wickramaratne said during the second reading debate of Budget 2023 in Parliament.

The SJB MP said that the country is bankrupt with no debt sustainability and the State revenue which was 13% once having plunged to 8.3%. Furthermore, the economy is contracting at a large negative rate. Budget deficit is over 10%. Inflation is over 60% with food inflation at 100% and the rupee has depreciated by more than 80%. The problems presented by the Finance Minister are clear.

“But the goal proposed for the solution is not clear. Inflation is said to be brought under single digits. It is said that the Government revenue which was at 13% of GDP in 2019 will be brought from present 8% to 15%, and the primary balance will be brought from negative value to positive value.

“In the history of 74 years, the primary balance of this country had a positive value only five times, including in 2017 and 2018. When the income increases more than the expenditure, it’s called positive in primary balance and through the primary balance, we can pay the loan interest with our revenue money. If not, we have to take out a loan even to pay the loan interest,” Wickramaratne said.

“It is just hilarious while presenting the Budget for 2023 and saying that all these goals will be achieved by 2025. A Budget presents plans for the work to be done in the next year. But this Government is giving the target of 2025,” the SJB said, adding that “this is why this Budget 2023 has become a dream Budget.”

The President mentioned that the economic path implemented before and after 1977 was wrong and a new path should be explored. We also agree with that proposal. Although a new social contract was mentioned, Wickramaratne questioned whether it would include all working people and all stakeholders of the society.

“Can a person who came to the presidential chair without a mandate or legitimacy create a social contract as mentioned in the Budget. This Government must have a mandate to create a new social contract with the people and such a mandate can only be obtained through an election. Therefore, it is the Government’s responsibility to create an opportunity to obtain a fresh mandate,” Wickramaratne opined.