|
Progress over the past four years :
Long, arduous march to prosperity
Perhaps, the most cherished achievement of
the Government during the past four years was the defeat of the LTTE.
The LTTE or Liberation Tigers of Tamil Eelam was the most ruthless
terrorist outfit that the world has ever seen. In addition to claiming
the lives of over sixty thousand people over the past thirty years, the
LTTE, with its substantial international presence, operating in the
guise of charity organisations around the world, effectively robbed the
nation of decades of development and prosperity. It was the biggest
stumbling block to peace and prosperity not only in the North and the
East, but in the entire nation. The Government's multi-dimensional
development strategy executed while waging an all-out war against
terrorism has been fruitful on many counts; despite the unbearable cost
of the war, the Sri Lankan economy was able to withstand the onslaught
of the global recession which is considered as the worst after the Great
Recession of 1929. The Government either launched or commenced work on
several large-scale infrastructure development projects including the
construction of a hub port and fully-fledged airport in Hambantota in
addition to renovating and upgrading networks of roads under its
futuristic Maga Neguma program.
by the Sunday Observer Features Desk
 |
|
The longest bridge in
Sri Lanka at Kinniya |
The past four years were the most dramatic years in the contemporary
history of Sri Lanka. At the time President Mahinda Rajapaksa assumed
office as the fifth Executive President, the country was saddled with
major issues which threatened the very existence of the nation, amidst
the clamour that Sri Lanka was on the brink of labelling itself as a
Failed State.
The LTTE which waged a ruthless war against the State with the
intention of carving out a separate state of Eelam in the North and the
East of the country for over thirty years had evolved into a de facto
army, partially acquiring the capability of launching air strikes. On
one hand, the country faced the imminent threat of terrorists achieving
their objectives.
On the other hand, the country faced the bleakest economic prospects,
with the possibility of thousands of Sri Lankan expatriate workers
particularly from the Middle East countries returning to Sri Lanka, not
only depriving the country of one of its main sources of foreign
exchange, but also making these workers economically dependents. Since
the otherwise generous and fashion-conscious consumers in Europe shunned
demand for apparels due to the global recession, the Sri Lankan garment
industry which provides employment for thousands faced the biggest
threat of survival, let alone making profits. At the peak of the
recession, some of the garment factory owners found it hard to reach
even a break-even point in sales. The global financial meltdown
adversely affected the other sectors of the economy such as the tourism
industry. The management of the economy against unprecedented odds was,
perhaps, one of the major achievements on the part of the Government
besides the victory over terrorism.
Challenges in the financial sector
 |
|
The Yal Devi train
links the North and the South |
Against this global financial meltdown, Sri Lanka faced a number of
challenges in the economy. One of the daunting tasks was to save the
banking system or financial system from collapsing against the backdrop
of the decreasing volume of trade, rising fuel prices, decreasing
foreign exchange, increase in the balance of payment deficit and the
spiralling cost of the war on terrorism.
Despite tremendous odds, through the timely intervention of the
Central Bank of Sri Lanka, and the practice of prudent fiscal policies,
Sri Lanka was able to cushion itself of the adverse effects of the
global financial meltdown while maintaining an over six percent annual
growth rate. Among other things, the country maintained a single digit
inflation rate although inflation rose due to the increase in flour
prices during the month of June 2008.
Foreign Exchange Reserves, which were US$ 355 million in July 2008,
recorded a noteworthy increase up to US$ 4825 million in October 2009.
The reserves are now sufficient to cover imports for a period of six
months.
Agriculture
Apart from launching a local drive for food production, the
Government has re-established institutional mechanisms such as the Paddy
Marketing Board, expansion of the CWE and Budget Shops and streamlining
the process of agricultural production. To provide irrigated water for
cultivation, the Government has renovated small-scale and large-scale
tanks and reservoirs such as Deduru Oya, Rambukkana Oya, Veli Oya,
Veheragala, Veemedilla Reservoir and Kekiri Oboda.
Transport
 |
|
Hambantota Port, a
major development project |
During the past four years, the Government has achieved commendable
progress in developing networks of roads. Significantly, several
flyovers and bridges such as the Kinniya Bridge have been constructed,
easing traffic jams and providing convenient transportation for the
masses. The relaunch of the Yal Devi train is one of the important steps
taken towards re-establishing the lost links between the North and
South. Over the four years, considerable progress has been achieved
particularly in railway transport. The existing fleets of trains have
been further strengthened by launching power sets and construction of
railway tracks. Major highways and rural roads have been either upgraded
or renovated under the Maga Neguma programme.
Telecommunications and IT
Apart from the ambitious project of sending low orbit communication
satellites to space, launching the space era for Sri Lanka, general IT
and ICT infrastructure has been built to international standards. In
other words, Sri Lankan consumers could obtain the latest
state-of-the-art technology which is available in any developed country.
 |
|
Nenasala centres
provide IT facilities to even remote hamlets |
Through the introduction of IT to school curricula and setting up
Nenasala centres, ITC facilities have been made available to even remote
hamlets.
Tele-density has been increased while the digital gap has been
reduced through increasing accessibility to the Internet. Broadband
internet facilities are readily available while International Direct
Dialling facilities are available even on mobile phones.
Dynamic global hub
According to Mahinda Chinthana- Vision for Future, the Government
envisions transforming Sri Lanka into a strategically important economic
centre in the world, regaining its ancient position as the Pearl of
Asia. Sri Lanka will be re-modelled as a naval, aviation, commercial,
energy and knowledge hub, serving as a key link between the East and the
West.
|
