PBJ outlines vision 20/30 to make Sri Lanka an advanced economy
Sri Lanka’s 2015 budget addresses the needs of a wide range of sectors in a long term perspective of 20/30 covering all segments of the economy ranging from micro level farmers, workers, small and medium entrepreneurs to the large corporate extending decade of economic benefits to the people, the Treasury’s top official said, however sans his usually confident tone and vigour in Colombo this week.
Addressing a packed audience at Nelum Pokuna Theatre hall, Treasury Secretary Dr. P.B. Jaysundera, who ignored his doctor’s advice to refrain from making long speeches because of ill health, noted that the 10th successive all inclusive budget presented by the president is aimed at laying the foundation for long term prosperity and progress of the country and no one can dispute it.
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| The meeting drew different groups in society.
From left: An aged disabled man, Treasury Secretary Dr. P.B. Jayasundera and Pensions Department Director Sunil Hettiarachchi, and a group of young women walk into the hall. Pix by Ranjit Perera |
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Outlining Sri Lanka’s Vision 20/30 transition from a an upper middle income to an advanced economy, Dr. Jayasundera told a gathering of over 1,280 including ministry officials, heads of state institutions and private firms, corporate heads, company owners, rural men and women entrepreneurs, industrialists, representatives of chambers, farmer organisations and ordinary citizens, that the budget perceived as the ‘rule of law’ in public finance was prepared in accordance with the Constitution, Parliamentary Standing Orders and the Fiscal Management (Responsibility) Act. Therefore no one can say that budget figures were wrong as it will be legalised after being passed by parliament, he said adding that even if it were wrong (according to analysts) all those were legal figures. He asked his critics and analysts as to why they cannot see anything good in the budget. Relating a relevant story, he said that a poor villager took a bag of tamarind (siyambala) to a trader to get some money by selling it. The trader after weighing it, deducted money for seeds and shells, etc and when he was thinking about making further deductions, the villager asked him is there any tamarind left after your deductions for you to pay me something? Likewise, Dr. Jayasundera said that he will have to ask his critics and analysts; is there any good thing for them to figure it out to the public?
In a lengthy 2-hour speech that resembled President Mahinda Rajapaksa’s speeches at the opening of development projects, Dr. Jayasundera explained in detail the benefits and concessions passed on to rural and urban sector, low and middle income families including students, women, children and elders. Referring to revenue collection from taxes, he noted that people have an obligation to pay taxes as they are using infrastructure facilities built by using tax payer money. No one will be allowed to default the payment of taxes, he said adding that he has directed the new Commissioner General to somehow collect the arrears of taxes running up to Rs. 125 billon at present otherwise “she will have to leave her post”. He made this remark pointing his finger to Commissioner General of Inland Revenue Department R.M.R.W. Manchanayake who was sitting at the head table along with other senior officials. Dr. Jayasundera said that the tax administration should be streamlined reducing the paper work and it is better to introduce an online system enabling the taxpayers to make their payment of taxes without any hassle.
He noted that PAYE tax has been brought down to 16 per cent and he cannot see any difficulty for doctors, accountants, engineers, other professionals and other employees in paying such a reasonable amount from their earnings. “One of the main focuses of the budget lies in development banking while encouraging investment practices and the SMEs (small and medium enterprises) sector to perform at best towards economic enhancement,” he said adding that a mega development bank will be set up next year to cater to the needs of entrepreneurs and industrialists to get access to finances without any difficulty. It is timely that the banks perform quality lending to a wide range of economic activities for rapid growth in this investor friendly environment, he said.