CIOB invites stakeholder proposals to restart construction industry

Wednesday, 25 January 2023 00:00 -     - {{hitsCtrl.values.hits}}

CIOB President 

Dr. Rohan Karunaratne

The Ceylon Institute of Builders (CIOB) says that it is currently receiving suggestions and ideas from stakeholders in the construction industry.

CIOB has prepared a basic road map regarding the issues facing the construction industry in Sri Lanka in 2023 and its way forward. The CIOB aims to improve and implement stakeholder suggestions and ideas.

CIOB President Dr. Rohan Karunaratne said about 70% of the Sri Lankan construction industry has been halted.

“If we do nothing about this, the Government may, as they mentioned, not award projects for the year 2023 and 2024. Funding agents are also looking towards halting funded projects by the first quarter of 2023. Private sector projects also may not continue due to high construction costs and bank interest.

“Foreign direct investors also are reluctant to undertake construction work in the country due to its rising cost. If we do not address these issues and search for solutions, the next two years will be ‘dead years’ for the Sri Lankan Construction Industry and its stakeholders,” Dr. Karunaratne said.

CIOB therefore strongly feels that it is high time for all stakeholders to get together and to find solutions to restart the industry by 2023. Issues of concern were: Stoppage of government projects, non-settlement of dues to contractors, volatile relationship between banks and industry stakeholders, high material cost/unavailability, high financial cost, Clients’ fear of construction due to uncertainty, funding agencies getting discouraged to invest and support Sri Lankan construction, lack of FDI projects, inactive regulatory bodies, national bankruptcy, absence of an Infrastructure Fund.

CIOB said industry stakeholders from various sub-groups of construction were asked to voice their concerns and needs in this attempt to secure a future for the construction industry.

It Included representatives from Institute of Architects, Institute of Quantity Surveyors, Institute of Engineers, National Construction Association, Chamber of Construction Industry and a large number of supply chain stakeholders. Almost all stakeholders of the industry were present.

Furthermore, to complete this roadmap CIOB invites all stakeholders to provide their contributions to finish formulating this roadmap for construction for the year 2023.