National Chamber welcomes 2021 Budget; stresses on implementation

Friday, 20 November 2020 04:08 - - {{hitsCtrl.values.hits}}

The National Chamber of Commerce (NCCSL) yesterday welcomed the 2021 Budget presented on Tuesday by Prime Minister and Finance Minister Mahinda Rajapaksa and stressed its success hinged on effective implementation.

Following is the full text of the NCCSL statement:

“The National Chamber at the outset acknowledge and appreciated the Government efforts to maintain consistency in taxation policy framework commenced last year with introduction of certain tax cuts and relaxations, without resorting to ad-hoc revenue enhancement measures in the midst of extremely difficult times confronted with the COVID-19 pandemic on behalf of the membership, business community and general public at large.

“We observe the Budget proposals deliberated under agriculture, local diary industry, fishery economy, plantation, etc., with budgetary allocations under the Ministries of Agriculture, Irrigation, Water Supply, Plantation, Trade, Fisheries and Land, etc., together with a wide spectrum of tax exemptions extended would augur well for SMEs of the economy where the National Chamber has a remarkably high level of representation.

“The National Chamber is cognisant that the budgetary framework revolves around the sustainability of local entrepreneurship under ‘Vistas of Prosperity and Splendour’ while keeping certain import restrictions in order to maintain economic stability of the economy as elaborated under foreign trade and national economy of the Budget speech. We sincerely expect that the Government would endeavour to reconnect with global value chain eventually starting with the regional trade collaborations at the appropriate time moving forward.

“We are of the view that up-skilling of the technical knowhow of the local work force would be of paramount importance in order to improve productivity level and quality of the output of the local entrepreneurs. While appreciating Budget proposals directed towards in the areas of technological infrastructure, connect Sri Lanka, techno parks, distance education, and specifically opportunities for vocational education and expansion of university facilities we stressed that such efforts need to be continued under ‘Vistas of Prosperity and Splendour’ vision of the Government in order reap the benefits in the medium and long term horizon.

“Finally, we are of the view that the successful implementation of the Budget proposals of 2021 hinges on achieving the revenue targets of the Government which would be challenging under current prevailing circumstances and expect more light will be shed in this area through deliberations within the next few days finally extending the assurance in the minds of rating agencies, investors and foreign financing agencies.”